Cal. Pub. Res. Code § 42649.3

(a) On and after July 1, 2012, each jurisdiction shall implement a commercial solid waste recycling program appropriate for that jurisdiction designed to divert commercial solid waste from businesses subject to Section 42649.2, whether or not the jurisdiction has met the requirements of Section 41780.
(b) If a jurisdiction already has a commercial solid waste recycling program as one of its diversion elements that meets the requirements of this section, it shall not be required to implement a new or expanded commercial solid waste recycling program.
(c) The commercial solid waste recycling program shall be directed at a commercial waste generator, as defined in subdivision (c) of Section 42649.1, and may include, but is not limited to, any of the following:
1. (1) Implementing a mandatory commercial solid waste recycling policy or ordinance.
2. (2) Requiring a mandatory commercial solid waste recycling program through a franchise contract or agreement.
3. (3) Requiring all commercial solid waste to go through either a source separated or mixed processing system that diverts material from disposal.
(d) The commercial solid waste recycling program shall include education, outreach to, and monitoring of, businesses. A jurisdiction shall notify a business if the business is not in compliance with Section 42649.2.
(e) The commercial solid waste recycling program may include enforcement provisions that are consistent with a jurisdiction’s authority, including a structure for fines and penalties.
(f) The commercial solid waste recycling program may include certification requirements for self-haulers.
(g) The department shall review a jurisdiction’s compliance with this section as part of the department’s review required by Section 41825. Each jurisdiction shall report the progress achieved in implementing its commercial recycling program, including education, outreach, identification, and monitoring, and if applicable, enforcement efforts, by providing updates in the annual report required by Section 41821.
(h) The department may also review whether a jurisdiction is in compliance with this section at any time that the department receives information that a jurisdiction has not implemented, or is not making a good faith effort to implement, a commercial recycling program.
(i) During its review pursuant to subdivision (g) or (h), the department shall determine whether each jurisdiction has made a good faith effort to implement its selected commercial recycling program. For purposes of this section, “good faith effort” means all reasonable and feasible efforts by a jurisdiction to implement its commercial recycling program. During its review, the department may include, but is not limited to, the following factors in its evaluation of a jurisdiction’s good faith effort:
1. (1) The extent to which businesses have complied with Section 42649.2, including information on the amount of disposal that is being diverted from the businesses, if available, and on the number of businesses that are subscribing to service.
2. (2) The recovery rate of the commercial waste from the material recovery facilities that are utilized by the businesses, all information, methods, and calculations, and any additional performance data, as requested by the department from the material recovery facilities pursuant to Section 18809.4 of Title 14 of the California Code of Regulations.
3. (3) The extent to which the jurisdiction is conducting education and outreach to businesses.
4. (4) The extent to which the jurisdiction is monitoring businesses, and notifying those businesses that are out of compliance.
5. (5) The availability of markets for collected recyclables.
6. (6) Budgetary constraints.
7. (7) In the case of a rural jurisdiction, the effects of small geographic size, low population density, or distance to markets.