The California Department of Toxic Substances Control (DTSC) is proposing a long-awaited regulatory shift that could significantly ease compliance burdens for hazardous waste generators operating across large or split properties. The proposed rule, released under reference number R-2023-06R, would align California's manifesting requirements with federal exemptions, potentially saving millions in transport costs and streamlining operations for universities, military bases and other large facilities.
What's the Proposal?
DTSC aims to amend Title 22, Section 66262.20 of the California Code of Regulations to adopt the U.S. EPA's manifest exemption for hazardous waste transported between noncontiguous properties owned and controlled by the same entity. This change mirrors existing federal regulations (40 CFR § 262.20(f)) that EPA promulgated in 1997.
Under current California law, even moving waste across a public road between two buildings on the same campus requires use of a registered transporter and a manifest. The proposed rule would eliminate those requirements for hazardous waste being transported on a public or private right-of-way within or along the border of contiguous property under the control of the same person (even if the property is divided by a public or private right-of-way).
DTSC states that the change is designed to reduce unnecessary paperwork and costs without compromising environmental safety. The exemption would still require compliance with Department of Transportation shipping rules and spill response protocols. DTSC is accepting public comments on the proposal until August 27, 2025.
Why It Matters
California's existing manifesting rules have been criticized as overly burdensome, especially for sprawling institutions like universities, military installations and industrial facilities with large, segmented properties. The proposed changes would allow affected businesses to manage hazardous waste more economically within their own facilities.
Offsite transfers would still require full manifesting and transporter compliance. The proposed regulation would not preclude qualifying generators from forgoing the exemption to continue their current practices.
DTSC's analysis suggests that up to 235 generators could benefit from the proposed exemption, with projected cost savings ranging from $5.3 million to $20 million over a five-year time period. These savings stem from reduced reliance on registered transporters for intra-property waste transfers.
DTSC notes that the proposal will encourage consolidation of hazardous waste accumulation areas into fewer, more secure and more accessible locations—enhancing emergency response access and public safety in the event of a discharge or spill. DTSC asserts that the rule is consistent with existing state and federal law and will not impose new reporting or recordkeeping burdens. While hazardous waste transporters may see reduced revenue, DTSC does not anticipate a significant statewide economic impact.
Bottom Line
This is a welcome regulatory modernization effort with real operational and financial upside for qualifying hazardous waste generators. Clients with large, multi-building campuses or facilities should evaluate whether they qualify.
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