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Section Number: 1-1 Issue Date: 3/27/2006 Revision Date: Page 1 of 1 9-2 CALIFORNIA PROPOSITION 65 Overview The following information summarizes proposition 65 and identifies the steps to be taken to comply with California's Proposition 65. Three Key Issues: • California's Proposition 65 addresses citizen concerns about exposure to substances which may cause cancer or reproductive toxicity. • To comply with this proposition, companies that may expose individuals to listed chemicals are required to post "clear and reasonable" warning at either the plant entrance or next to the timeclock. • The penalty for non-compliance can run as high as $2,500/day/violation. Summary of Proposition 65 • California's Proposition 65, The Safe Drinking Water & Toxic Enforcement Act of 1986, was a voter initiative passed to address citizen concerns about exposure to substances which cause cancer or reproductive toxicity. • The law prohibits businesses from discharging such chemicals into sources of drinking water and requires that warnings be given to individuals exposed to these chemicals. • The state's scientific advisory board determines which chemicals are "known to the state" to cause cancer or reproductive toxicity, and periodically publishes updated lists in the California Regulatory Notice Register. • Companies with 10 or more employees that discharge listed chemicals into sources of drinking water or expose individuals to such chemicals are required to comply with this proposition. • Exposures can occur in the manufacture, distribution, or sale of consumer or commercial products, industrial or commercial operations that discharge chemicals into the environment, and through occupational exposures to listed chemicals. (Soiled merchandise from customers has the potential to contain these chemicals.) Steps to Comply • The warnings provided in Attachment A are required to be prominently displayed to communicate a "clear and reasonable warning" to employees or visitors with potential for exposure to potentially carcinogenic materials. These warnings must be displayed at all California ARAMARK plants.