Bill > AB405

This bill establishes the Fashion Environmental Accountability Act of 2025, which creates comprehensive environmental accountability requirements for fashion sellers with annual gross receipts over $100 million. The legislation mandates that fashion sellers conduct environmental due diligence, including identifying and mitigating environmental risks in their supply chains, tracking greenhouse gas emissions across four supply chain tiers, and ensuring their products do not contain regulated chemicals above specified thresholds. Fashion sellers must submit annual Environmental Due Diligence Reports to the Department of Toxic Substances Control and the State Air Resources Board, detailing their emissions baseline, reduction targets, and chemical management strategies. The bill requires fashion sellers to gradually disclose their supply chain suppliers, starting with tier one suppliers by 2027 and eventually reaching tier four suppliers by 2032. Violations can result in civil penalties up to $10,000 for first offenses and $50,000 for subsequent violations, with penalties potentially reaching up to 2% of a company's annual revenue. The legislation also establishes a Fashion Environmental Remediation Fund to support environmental benefit projects, using collected penalties and other appropriated funds. The bill aims to increase transparency, reduce environmental harm, and promote sustainable practices in the fashion industry by implementing rigorous due diligence and reporting requirements.

Agriculture and Natural Resources, Budget and Finance

https://leginfo.legislature.ca.gov/faces/billStatusClient.xhtml?bill_id=202520260AB405