California Code, Public Resources Code - PRC § 42968.72

(a) If the producer responsibility organization violates this chapter three or more times, the department may determine the producer responsibility organization permanently ineligible to act as the producer responsibility organization on behalf of producers to design, submit, and administer a producer responsibility plan pursuant to this chapter.

(b) If the producer responsibility organization becomes ineligible pursuant to subdivision (a), then the department may revoke approval of the producer responsibility organization pursuant to paragraph (1) of subdivision (c) of Section 42968.71.