California’s organics law has been enforceable against businesses since Jan. 1, 2024. Here is who must recycle food and green waste, what landlords owe tenants, which food businesses must donate surplus food and what violations cost.
SB 1383 organic waste businesses rules come from Senate Bill 1383 (2016) and CalRecycle regulations that took effect Jan. 1, 2022. Every commercial business, including industrial sites, must subscribe to organics collection or self-haul, and owners must provide containers and educate tenants each year. Larger food businesses must donate surplus edible food. Cities and counties must enforce the rules.
SB 1383 at a glance
| Item | Detail |
|---|---|
| Law | Senate Bill 1383 (Lara), Chapter 395, Statutes of 2016; CalRecycle regulations at Title 14, Division 7, Chapter 12 of the California Code of Regulations |
| Regulations effective | Jan. 1, 2022 (filed Nov. 3, 2020) |
| Local enforcement required | For violations on or after Jan. 1, 2024 |
| Administered by | CalRecycle (oversight of jurisdictions); cities and counties (enforcement against businesses) |
| Who it affects | Every “commercial business,” defined to include strip malls, industrial facilities and multifamily dwellings, plus property owners |
| Business duty | Subscribe to organics collection or self-haul; provide labeled containers; educate employees |
| Owner duty | Provide or arrange organics service, containers, annual education and new-tenant information within 14 days |
| Edible food | Tier 1 (supermarkets, grocery stores of 10,000 SF or more, food distributors and others) from Jan. 1, 2022; Tier 2 (larger restaurants, hotels, venues and others) from Jan. 1, 2024 |
| Penalties | $50 to $100 (first), $100 to $200 (second), $250 to $500 (third or later) per violation |
Key takeaways
- CalRecycle’s SB 1383 regulations took effect Jan. 1, 2022, and local jurisdictions must take enforcement action for violations on or after Jan. 1, 2024.
- Under 14 CCR 18984.10, owners of commercial and multifamily properties must provide or arrange organics collection, supply labeled containers, educate tenants annually and inform new tenants within 14 days of occupancy.
- The regulation’s definition of “commercial business” expressly includes strip malls and industrial facilities, so Kern warehouses and shopping centers are covered unless a waiver applies.
- A jurisdiction may grant a de minimis waiver when a business has 2 or more cubic yards of weekly trash service and under 20 gallons of organics, or less than 2 cubic yards and under 10 gallons.
- Penalties under 14 CCR 18997.2 run $50 to $100 for a first violation, $100 to $200 for a second and $250 to $500 for a third or later violation.
What is SB 1383 and why does it matter to businesses?
SB 1383 is California’s law to cut methane from rotting food scraps, yard trimmings and paper in landfills. Signed in 2016 (chaptered text), it set a goal of cutting statewide organic waste disposal 50% from 2014 levels by 2020 and 75% by 2025, as CalRecycle restates in its compliance documents, along with recovery of edible food. CalRecycle’s enforcement page describes the 75% goal as continuing beyond 2025.
CalRecycle’s regulations, filed Nov. 3, 2020 and operative Jan. 1, 2022, turned those goals into duties for cities, counties, haulers, businesses, property owners and food generators. The definitions section, 14 CCR 18982, defines organic waste broadly. It covers food, green material, and landscape and pruning waste, among other material from living organisms.
The scope is wider than many owners assume. The regulation defines a “commercial business” to include any firm, corporation, association, strip mall, industrial facility or multifamily dwelling, for-profit or not. A distribution center with a break room, a strip center with a sandwich shop and an apartment complex are all in.
What must SB 1383 organic waste businesses and tenants do?
A covered business must subscribe to its jurisdiction’s organics collection service or self-haul organics under the regulations. In practice that means a green or organics cart or bin alongside trash and recycling.
Inside the business, 14 CCR 18984.9(b) requires businesses other than multifamily properties to provide separate containers for organics and non-organic recyclables wherever customers have disposal containers, except restrooms. The containers must use the hauler’s colors or compliant labels. Businesses must keep employees from using the wrong container and periodically inspect organics containers for contamination. Containers bought before Jan. 1, 2022 can stay in use until they wear out or until Jan. 1, 2036, whichever comes first.
Most businesses meet the requirement through their hauler or the city’s commercial service. Businesses that generate very little organic material can ask the jurisdiction for a waiver instead of paying for unneeded service.
What waivers are available?
Only the city or county can grant a waiver, never a private hauler. Under 14 CCR 18984.11, the jurisdiction must also rescind a de minimis waiver if the business exceeds the limits.
- De minimis: total solid waste service of 2 cubic yards or more per week with organics under 20 gallons per week, or service under 2 cubic yards per week with organics under 10 gallons per week.
- Physical space: the premises lack room for any allowed container configuration, documented by jurisdiction staff, the hauler or a licensed professional.
- Collection frequency: the jurisdiction may allow collection once every 14 days if state minimum standards are still met.
What do SB 1383 rules require of commercial property owners?
Landlords must provide or arrange organics service and containers, and they must educate tenants. Under 14 CCR 18984.10, owners of commercial businesses and multifamily dwellings must arrange organics collection consistent with state and local rules. They must also supply adequately sized, well-placed and labeled or color-coded containers for employees, contractors, tenants and customers.
Owners must educate tenants and other users each year about organics requirements and sorting. New tenants must get that information before or within 14 days of occupancy. Owners must also allow access for jurisdiction inspections. These duties apply whether the owner contracts for service centrally, which is common in multi-tenant centers, or each tenant contracts directly, which is common in single-tenant industrial.
| Party | Main obligations | Regulation |
|---|---|---|
| Commercial business (including industrial facilities and strip mall tenants) | Subscribe to organics collection or self-haul; labeled containers wherever customer disposal containers exist (except restrooms); keep employees sorting correctly; check containers for contamination | 14 CCR 18984.9; 18982(a)(6) definition |
| Property owner (commercial or multifamily) | Provide or arrange organics service; containers; annual education; new-tenant information within 14 days; inspection access | 14 CCR 18984.10 |
| Tier 1 and Tier 2 commercial edible food generators | Written agreement with food recovery organizations; donate maximum edible food; keep records in pounds per month | 14 CCR 18991.3 and 18991.4 |
| City or county | Provide service, educate, inspect, grant waivers, issue notices of violation and penalties | 14 CCR 18984.11, 18995.4, 18997.2 |
Which businesses must donate surplus edible food?
Larger food businesses, called commercial edible food generators, must recover edible food that would otherwise be thrown away. Kern County Public Works says generators must recover and donate the maximum possible amount of edible food and keep written agreements with food recovery organizations.
Per CalRecycle’s food recovery FAQ, Tier 1 generators have been covered since Jan. 1, 2022 and Tier 2 since Jan. 1, 2024. Generators need a contract or written agreement with a food recovery organization or service, and they must record the pounds of food recovered each month.
- Tier 1: supermarkets (gross annual sales of $2 million or more), grocery stores with a total facility size of 10,000 SF or more, food service providers, food distributors and wholesale food vendors.
- Tier 2: restaurants with 250 or more seats or 5,000 SF or more; hotels with an on-site food facility and 200 or more rooms; health facilities with an on-site food facility and 100 or more beds; large venues and events serving an average of more than 2,000 people per day; certain state agency cafeterias; and local education agencies with on-site food facilities.
The 10,000 SF grocery threshold comes from the regulation’s text. Some secondary sources cite 7,500 SF, but the regulation governs.
How is SB 1383 enforced, and what are the penalties?
Cities and counties enforce it. Under 14 CCR 18995.4, a jurisdiction must take enforcement action for violations on or after Jan. 1, 2024. It issues a Notice of Violation requiring compliance within 60 days, and if the violator does not comply, it must start an action to impose penalties. Extensions are possible for extenuating circumstances such as disasters, permit delays or inadequate processing capacity.
14 CCR 18997.2 sets the penalty ranges: $50 to $100 for a first violation, $100 to $200 for a second and $250 to $500 for a third or later violation. They are imposed under the Government Code’s administrative citation authority. Jurisdictions can also act on permits and licenses. CalRecycle, in turn, evaluates whether cities and counties are carrying out the program.
How does SB 1383 work in Bakersfield and Kern County?
Who enforces depends on where the property sits. The City of Bakersfield and each incorporated city handle their own businesses, and Kern County Public Works handles unincorporated areas, including its edible food generator program (organics@kerncounty.com, per the county’s site). The hauler or the city’s solid waste division sets what organics service is available and what it costs.
Regional processing capacity is growing. Kern CRE has covered the Mojave anaerobic digestion facility, a planned organics plant that would help make collection practical in Kern.
CalRecycle has used corrective action plans with jurisdictions that were not ready. Its corrective action plan with the City of Ridgecrest, dated March 29, 2023 with a June 2, 2023 addendum, addressed gaps in three-container collection, contamination monitoring, education, edible food recovery, and inspection and enforcement procedures. It set a March 1, 2024 milestone for completing the program.
What does SB 1383 mean for leases, CAM and site planning?
It adds a cost and a space question for landlords. In multi-tenant retail and industrial parks where the landlord contracts for trash, organics service is an added CAM (common area maintenance) cost. The owner’s annual education and new-tenant notices are administrative tasks worth building into the property manager’s calendar. Our guides to CAM reconciliations and operating expense pass-throughs explain how those costs typically flow to tenants.
Space is the practical constraint. A third container stream needs room in trash enclosures, and older enclosures were often sized for trash and one recycling bin. Enlarging an enclosure can require city approval and may affect parking or truck circulation, which makes enclosure capacity a lease-signing issue for a restaurant or grocer. If space truly is not available, the physical space waiver exists, but the jurisdiction must grant it and the lack of space must be documented.
Leases should say who contracts for organics service, who pays, who handles education and container labeling, and who bears fines. Food-heavy tenants that are Tier 1 or Tier 2 generators also need storage and pickup logistics for donated food.
SB 1383 compliance checklist for Kern owners and tenants
- Arrange organics service (or a valid self-haul arrangement) for every building and tenant, or document a jurisdiction-granted waiver.
- Place labeled or color-coded organics containers where employees, tenants and customers can use them.
- Calendar annual education for tenants and staff, and deliver organics information to new tenants within 14 days of move-in.
- Identify Tier 1 and Tier 2 food tenants and keep their written food recovery agreements and monthly records on file.
- Size trash enclosures for added organics bins before leasing to restaurants, grocers or other heavy food-waste users.
- Allocate organics costs, education duties and penalty responsibility in the lease and CAM provisions.
Example: a 60,000 SF Bakersfield neighborhood center
Assume a landlord-serviced shopping center with a grocer of about 25,000 SF, a 6,000 SF restaurant, a coffee shop, a nail salon and office tenants. The landlord contracts for trash and bills it through CAM. These facts are illustrative.
The owner must provide organics collection and containers for the whole center, educate all tenants annually and give each new tenant organics information within 14 days of occupancy. The salon and office tenants may need nothing more than shared containers. The restaurant and coffee shop will generate food scraps daily.
The 6,000 SF restaurant meets the Tier 2 size test (5,000 SF or more) and needs a food recovery agreement and monthly records. The 25,000 SF grocer is a Tier 1 generator (grocery stores of 10,000 SF or more) and has had that duty since 2022. If the enclosure cannot fit added organics bins, the owner either enlarges it, with any needed city approval, or seeks a documented physical space waiver. For how these costs are shared under different lease types, see our guide to NNN, modified gross and full-service leases.
| Task | Typically handled by | Cost recovery |
|---|---|---|
| Organics hauling contract and containers | Landlord | CAM, if the lease allows |
| Annual tenant education and new-tenant notices | Landlord or property manager | Management or CAM |
| Food recovery agreement and records | Restaurant and grocer (Tier 2 and Tier 1) | Tenant’s own cost |
| Sorting by employees | Each tenant | Tenant’s own cost |
Frequently asked questions
Does SB 1383 apply to warehouses and industrial buildings?
Yes. CalRecycle’s regulation counts an industrial facility as a commercial business, alongside firms, strip malls and multifamily dwellings. A warehouse must subscribe to organics collection or self-haul unless its city or county grants a waiver. One example is the de minimis waiver, for sites with under 20 gallons of organics a week and 2 or more cubic yards of weekly trash service.
What do commercial landlords have to do under SB 1383?
Landlords must provide or arrange organics collection and supply properly sized, labeled containers for employees, contractors, tenants and customers. They must also educate tenants each year, give new tenants sorting information within 14 days of occupancy and let inspectors on the property. The duties come from 14 CCR 18984.10.
When did SB 1383 penalties start for businesses?
The regulations took effect Jan. 1, 2022, and cities and counties had to begin enforcing them for violations on or after Jan. 1, 2024. A violator first gets a Notice of Violation with 60 days to comply. After that, fines run from $50 to $100 for a first violation up to $250 to $500 for a third or later one.
What is a Tier 2 commercial edible food generator?
It is a larger food business required to donate surplus edible food starting Jan. 1, 2024. Examples include restaurants with 250 or more seats or at least 5,000 SF, hotels with an on-site food facility and 200 or more rooms, and health facilities with 100 or more beds. Large venues and events, some state agency cafeterias and local education agencies also qualify.
Can a small business get out of SB 1383 organics service?
Possibly, through a waiver from the city or county. A hauler cannot grant one. A de minimis waiver fits businesses with very low organics, and a physical space waiver fits sites with no room for organics containers.
Who pays for organics collection in a shopping center or business park?
The lease decides. SB 1383 makes the owner responsible for providing or arranging organics service but does not say who pays. If the landlord contracts for hauling, the CAM or operating expense clause usually controls the pass-through. If tenants contract directly, each pays its own service, though the owner must still provide annual education.
Who enforces SB 1383 in Bakersfield and Kern County?
Cities and counties do. The City of Bakersfield and other incorporated Kern cities handle businesses inside their limits, and Kern County Public Works covers unincorporated areas, including the edible food generator program. CalRecycle oversees those jurisdictions and checks whether they are carrying out the program.
Leasing space to a restaurant or grocer, planning a trash enclosure, or reviewing CAM charges for organics service in Kern County? Kern CRE can help you frame the questions for your hauler, the city and your attorney. Call Kern CRE at 661-885-6949 or contact us. Get Kern County CRE news monthly: subscribe to the Kern CRE report.
Sources
- Enforcement of Organic Waste Collection, Processing, and Diversion from Landfills, CalRecycle.
- Food Recovery Questions and Answers, CalRecycle.
- 14 CCR 18982, Definitions, California Code of Regulations via Cornell Legal Information Institute.
- 14 CCR 18984.9, Organic Waste Generator Requirements, California Code of Regulations via Cornell Legal Information Institute.
- 14 CCR 18984.10, Property Owners of Commercial Businesses and Multifamily Residential Dwellings, California Code of Regulations via Cornell Legal Information Institute.
- 14 CCR 18984.11, Waivers, California Code of Regulations via Cornell Legal Information Institute.
- 14 CCR 18995.4, Enforcement by a Jurisdiction, California Code of Regulations via Cornell Legal Information Institute.
- 14 CCR 18997.2, Penalty Amounts, California Code of Regulations via Cornell Legal Information Institute.
- SB 1383: Commercial Edible Food Generators, Kern County Public Works.
- Corrective Action Plan, City of Ridgecrest (SB 1383), CalRecycle, March 29, 2023, first addendum June 2, 2023.
- Senate Bill No. 1383, Chapter 395, California Legislature, 2016.
About this article
Kern CRE prepared this article with help from AI research and writing tools. An editor reviewed the draft, checked its facts against the sources linked above and edited it for accuracy and clarity. It is general information, not legal, tax, investment or financial advice; talk with a qualified professional about your situation.