Bill Text: MN HF865 | 2013-2014 | 88th Legislature | Engrossed
Bill Title: Product stewardship programs provided.
Spectrum: Partisan Bill (Democrat 3-0)
Status: (Introduced - Dead) 2013-03-21 - Committee report, to pass and re-refer to Environment, Natural Resources and Agriculture Finance [HF865 Detail]
Download: Minnesota-2013-HF865-Engrossed.html
1.2relating to environment; providing for product stewardship programs; requiring a
1.3report;proposing coding for new law in Minnesota Statutes, chapter 115A.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. [115A.141] CARPET PRODUCT STEWARDSHIP PROGRAM;
1.6STEWARDSHIP PLAN.
1.7 Subdivision 1. Definitions. For purposes of this section, the following terms have
1.8the meanings given:
1.9(1) "brand" means a name, symbol, word, or mark that identifies carpet, rather than its
1.10components, and attributes the carpet to the owner or licensee of the brand as the producer;
1.11(2) "carpet" means a manufactured article that is used in commercial or single or
1.12multifamily residential buildings, is affixed or placed on the floor or building walking
1.13surface as a decorative or functional building interior or exterior feature, and is primarily
1.14constructed of a top visible surface of synthetic face fibers or yarns or tufts attached to a
1.15backing system derived from synthetic or natural materials. Carpet includes, but is not
1.16limited to, a commercial or residential broadloom carpet or modular carpet tiles. Carpet
1.17includes a pad or underlayment used in conjunction with a carpet. Carpet does not include
1.18handmade rugs, area rugs, or mats;
1.19(3) "discarded carpet" means carpet that is no longer used for its manufactured
1.20purpose;
1.21(4) "producer" means a person that:
1.22(i) has legal ownership of the brand, brand name, or cobrand of carpet sold in the state;
1.23(ii) imports carpet branded by a producer that meets subclause (i) when the producer
1.24has no physical presence in the United States;
2.1(iii) if subclauses (i) and (ii) do not apply, makes unbranded carpet that is sold
2.2in the state; or
2.3(iv) sells carpet at wholesale or retail, does not have legal ownership of the brand,
2.4and elects to fulfill the responsibilities of the producer for the carpet;
2.5(5) "recycling" means the process of collecting and preparing recyclable materials and
2.6reusing the materials in their original form or using them in manufacturing processes that
2.7do not cause the destruction of recyclable materials in a manner that precludes further use;
2.8(6) "retailer" means any person who offers carpet for sale at retail in the state;
2.9(7) "reuse" means donating or selling a collected carpet back into the market for
2.10its original intended use, when the carpet retains its original purpose and performance
2.11characteristics;
2.12(8) "sale" or "sell" means transfer of title of carpet for consideration, including a
2.13remote sale conducted through a sales outlet, catalog, Web site, or similar electronic
2.14means. Sale or sell includes a lease through which carpet is provided to a consumer by a
2.15producer, wholesaler, or retailer;
2.16(9) "stewardship assessment" means the amount added to the purchase price of
2.17carpet sold in the state that is necessary to cover the cost of collecting, transporting, and
2.18processing postconsumer carpets by the producer or stewardship organization pursuant to
2.19a product stewardship program;
2.20(10) "stewardship organization" means an organization appointed by one or more
2.21producers to act as an agent on behalf of the producer to design, submit, and administer a
2.22product stewardship program under this section; and
2.23(11) "stewardship plan" means a detailed plan describing the manner in which a
2.24product stewardship program under subdivision 2 will be implemented.
2.25 Subd. 2. Product stewardship program. For all carpet sold in the state, producers
2.26must, individually or through a stewardship organization, implement and finance a
2.27statewide product stewardship program that manages carpet by reducing carpet's waste
2.28generation, promoting its reuse and recycling, and providing for negotiation and execution
2.29of agreements to collect, transport, and process carpet for end-of-life recycling and reuse.
2.30 Subd. 3. Requirement for sale. (a) On and after July 1, 2015, no producer,
2.31wholesaler, or retailer may sell carpet or offer carpet for sale in the state unless the carpet's
2.32producer participates in an approved stewardship plan, either individually or through a
2.33stewardship organization.
2.34(b) Each producer must operate a product stewardship program approved by the
2.35agency or enter into an agreement with a stewardship organization to operate, on the
2.36producer's behalf, a product stewardship program approved by the agency.
3.1 Subd. 4. Requirement to submit plan. (a) On or before March 1, 2015, and before
3.2offering carpet for sale in the state, a producer must submit a stewardship plan to the
3.3agency and receive approval of the plan or must submit documentation to the agency that
3.4demonstrates the producer has entered into an agreement with a stewardship organization
3.5to be an active participant in an approved product stewardship program as described in
3.6subdivision 2. A stewardship plan must include all elements required under subdivision 5.
3.7(b) At least every three years, a producer or stewardship organization operating a
3.8product stewardship program must update the stewardship plan and submit the updated
3.9plan to the agency for review and approval.
3.10(c) It is the responsibility of the entities responsible for each stewardship plan to
3.11notify the agency within 30 days of any significant changes or modifications to the plan or
3.12its implementation. Within 30 days of the notification, a written plan revision must be
3.13submitted to the agency for review and approval.
3.14 Subd. 5. Stewardship plan content. A stewardship plan must contain:
3.15(1) certification that the product stewardship program will accept all discarded carpet
3.16regardless of which producer produced the carpet and its individual components;
3.17(2) contact information for the individual and the entity submitting the plan and for
3.18all producers participating in the product stewardship program;
3.19(3) a description of the methods by which discarded carpet will be collected in all
3.20areas in the state without relying on end-of-life fees, including an explanation of how the
3.21collection system will be convenient and adequate to serve the needs of small businesses
3.22and residents in the seven-county metropolitan area initially and expanding to areas
3.23outside of the seven-county metropolitan area starting July 1, 2016;
3.24(4) a description of how the adequacy of the collection program will be monitored
3.25and maintained;
3.26(5) the names and locations of collectors, transporters, and recycling facilities that
3.27will manage discarded carpet;
3.28(6) a description of how the discarded carpet and the carpet's components will
3.29be safely and securely transported, tracked, and handled from collection through final
3.30recycling and processing;
3.31(7) a description of the method that will be used to reuse, deconstruct, or recycle
3.32the discarded carpet to ensure that the product's components, to the extent feasible, are
3.33transformed or remanufactured into finished products for use;
3.34(8) a description of the promotion and outreach activities that will be used to
3.35encourage participation in the collection and recycling programs and how the activities'
3.36effectiveness will be evaluated and the program modified, if necessary;
4.1(9) the proposed stewardship assessment. The producer or stewardship organization
4.2shall propose a stewardship assessment for any carpet sold in the state. The proposed
4.3stewardship assessment shall be reviewed by an independent auditor to ensure that
4.4the assessment does not exceed the costs of the product stewardship program and the
4.5independent auditor shall recommend an amount for the stewardship assessment;
4.6(10) evidence of adequate insurance and financial assurance that may be required for
4.7collection, handling, and disposal operations;
4.8(11) five-year performance goals, including an estimate of the percentage of
4.9discarded carpet that will be collected, reused, and recycled during each of the first five
4.10years of the stewardship plan. The performance goals must include a specific escalating
4.11goal for the amount of discarded carpet that will be collected and recycled and reused
4.12during each year of the plan. The performance goals must be based on:
4.13(i) the most recent collection data available for the state;
4.14(ii) the amount of carpet disposed of annually;
4.15(iii) the weight of the carpet that is expected to be available for collection annually;
4.16and
4.17(iv) actual collection data from other existing stewardship programs.
4.18The stewardship plan must state the methodology used to determine these goals;
4.19(12) carpet design changes that will be considered to reduce toxicity, water use, or
4.20energy use or to increase recycled content, recyclability, or carpet longevity; and
4.21(13) a discussion of market development opportunities to expand use of recovered
4.22carpet, with consideration of expanding processing activity proximate to areas of collection.
4.23 Subd. 6. Consultation required. (a) Each stewardship organization or individual
4.24producer submitting a stewardship plan must consult with stakeholders including retailers,
4.25installers, collectors, recyclers, local government, customers, and citizens during the
4.26development of the plan, solicit stakeholder comments, and attempt to address any
4.27stakeholder concerns regarding the plan before submitting the plan to the agency for review.
4.28(b) The producer or stewardship organization must invite comments from local
4.29governments, communities, and citizens to report their satisfaction with services, including
4.30education and outreach, provided by the product stewardship program. The information
4.31must be submitted to the agency and used by the agency in reviewing proposed updates or
4.32changes to the stewardship plan.
4.33 Subd. 7. Agency review and approval. (a) Within 90 days after receipt of a proposed
4.34stewardship plan, the agency shall determine whether the plan complies with subdivision
4.355. If the agency approves a plan, the agency shall notify the applicant of the plan approval
4.36in writing. If the agency rejects a plan, the agency shall notify the applicant in writing of
5.1the reasons for rejecting the plan. An applicant whose plan is rejected by the agency must
5.2submit a revised plan to the agency within 60 days after receiving notice of rejection.
5.3(b) Any proposed changes to a stewardship plan must be approved by the agency
5.4in writing.
5.5 Subd. 8. Plan availability. All draft and approved stewardship plans shall be
5.6placed on the agency's Web site for at least 30 days and made available at the agency's
5.7headquarters for public review and comment.
5.8 Subd. 9. Conduct authorized. A producer or stewardship organization that
5.9organizes collection, transport, and processing of carpet under this section is immune
5.10from liability for the conduct under state laws relating to antitrust, restraint of trade,
5.11unfair trade practices, and other regulation of trade or commerce only to the extent that
5.12the conduct is necessary to plan and implement the producer's or organization's chosen
5.13organized collection or recycling system.
5.14 Subd. 10. Responsibility of producers. (a) On and after the date of implementation
5.15of a product stewardship program under this section, a producer of carpet must add the
5.16stewardship assessment, as established according to subdivision 5, clause (9), to the cost
5.17of the carpet sold to retailers and distributors in the state by the producer.
5.18(b) Producers of carpet or the stewardship organization shall provide consumers
5.19with educational materials regarding the stewardship assessment and product stewardship
5.20program. The materials must include, but are not limited to, information regarding available
5.21end-of-life management options for carpet offered through the product stewardship
5.22program and information that notifies consumers that a charge for the operation of the
5.23product stewardship program is included in the purchase price of carpet sold in the state.
5.24 Subd. 11. Responsibility of retailers. (a) On and after July 1, 2015, no carpet may
5.25be sold in the state unless the carpet's producer is participating in an approved stewardship
5.26plan.
5.27(b) On and after the implementation date of a product stewardship program under
5.28this section, each retailer or distributor, as applicable, must add the amount of the
5.29stewardship assessment to the purchase price of all carpet sold in the state.
5.30(c) Any retailer may participate, on a voluntary basis, as a designated collection
5.31point pursuant to a product stewardship program under this section and in accordance
5.32with applicable law.
5.33(d) No retailer or distributor shall be found to be in violation of this subdivision if,
5.34on the date the carpet was ordered from the producer or its agent, the producer was listed
5.35as compliant on the agency's Web site according to subdivision 14.
6.1 Subd. 12. Stewardship reports. Beginning October 1, 2016, producers of carpet
6.2sold in the state must individually or through a stewardship organization submit an
6.3annual report to the agency describing the product stewardship program. At a minimum,
6.4the report must contain:
6.5(1) a description of the methods used to collect, transport, and process carpet in all
6.6regions of the state;
6.7(2) the weight of all carpet collected in all regions of the state and a comparison to
6.8the performance goals and recycling rates established in the stewardship plan;
6.9(3) the amount of unwanted carpet collected in the state by method of disposition,
6.10including reuse, recycling, and other methods of processing;
6.11(4) identification of the facilities processing carpet and the number and weight
6.12processed at each facility;
6.13(5) an evaluation of the program's funding mechanism;
6.14(6) samples of educational materials provided to consumers and an evaluation of the
6.15effectiveness of the materials and the methods used to disseminate the materials; and
6.16(7) a description of progress made toward achieving carpet design changes according
6.17to subdivision 5, clause (12).
6.18 Subd. 13. Sales information. Sales information provided to the commissioner
6.19under this section is classified as private or nonpublic data, as specified in section
6.20115A.06, subdivision 13.
6.21 Subd. 14. Agency responsibilities. The agency shall provide, on its Web site, a
6.22list of all compliant producers and brands participating in stewardship plans that the
6.23agency has approved and a list of all producers and brands the agency has identified as
6.24noncompliant with this section.
6.25 Subd. 15. Local government responsibilities. (a) A city, county, or other public
6.26agency may choose to participate voluntarily in a carpet product stewardship program.
6.27(b) Cities, counties, and other public agencies are encouraged to work with producers
6.28and stewardship organizations to assist in meeting product stewardship program recycling
6.29obligations, by providing education and outreach or using other strategies.
6.30(c) A city, county, or other public agency that participates in a product stewardship
6.31program must report for the first year of the program to the agency using the reporting
6.32form provided by the agency on the cost savings as a result of participation and describe
6.33how the savings were used.
6.34 Subd. 16. Administrative fee. (a) The stewardship organization or individual
6.35producer submitting a stewardship plan shall pay the agency an annual administrative
6.36fee. The agency shall set the fee at an amount that, when paid by every stewardship
7.1organization or individual producer that submits a stewardship plan, is adequate to cover
7.2the agency's full costs of administering and enforcing this section. The agency may
7.3establish a variable fee based on relevant factors, including, but not limited to, the portion
7.4of carpet sold in the state by members of the organization compared to the total amount of
7.5carpet sold in the state by all organizations submitting a stewardship plan.
7.6(b) The total amount of annual fees collected under this subdivision must not
7.7exceed the amount necessary to cover costs incurred by the agency in connection with the
7.8administration and enforcement of this section.
7.9(c) The agency shall identify the direct program development or regulatory costs
7.10it incurs under this section before stewardship plans are submitted and shall establish a
7.11fee in an amount adequate to cover those costs, which shall be paid by a stewardship
7.12organization or individual producer that submits a stewardship plan.
7.13(d) A stewardship organization or individual producer subject to this subdivision
7.14must pay the agency's administrative fee under paragraph (a) on or before July 1, 2015,
7.15and annually thereafter and the agency's onetime development fee under paragraph (c) on
7.16or before July 1 the year following submission of a stewardship plan. Each year after the
7.17initial payment, the annual administrative fee may not exceed five percent of the aggregate
7.18stewardship assessment collected for the preceding calendar year.
7.19(e) The agency shall deposit the fees collected under this section into a product
7.20stewardship account.
7.21 Sec. 2. [115A.1415] ARCHITECTURAL PAINT; PRODUCT STEWARDSHIP
7.22PROGRAM; STEWARDSHIP PLAN.
7.23 Subdivision 1. Definitions. For purposes of this section, the following terms have
7.24the meanings given:
7.25(1) "architectural paint" means interior and exterior architectural coatings sold in
7.26containers of five gallons or less. Architectural paint does not include industrial coatings,
7.27original equipment coatings, or specialty coatings;
7.28(2) "brand" means a name, symbol, word, or mark that identifies architectural paint,
7.29rather than its components, and attributes the paint to the owner or licensee of the brand as
7.30the producer;
7.31(3) "discarded paint" means architectural paint that is no longer used for its
7.32manufactured purpose;
7.33(4) "producer" means a person that:
7.34(i) has legal ownership of the brand, brand name, or cobrand of architectural paint
7.35sold in the state;
8.1(ii) imports architectural paint branded by a producer that meets subclause (i) when
8.2the producer has no physical presence in the United States;
8.3(iii) if subclauses (i) and (ii) do not apply, makes unbranded architectural paint
8.4that is sold in the state; or
8.5(iv) sells architectural paint at wholesale or retail, does not have legal ownership of
8.6the brand, and elects to fulfill the responsibilities of the producer for the architectural paint;
8.7(5) "recycling" means the process of collecting and preparing recyclable materials and
8.8reusing the materials in their original form or using them in manufacturing processes that
8.9do not cause the destruction of recyclable materials in a manner that precludes further use;
8.10(6) "retailer" means any person who offers architectural paint for sale at retail in
8.11the state;
8.12(7) "reuse" means donating or selling collected architectural paint back into the
8.13market for its original intended use, when the architectural paint retains its original
8.14purpose and performance characteristics;
8.15(8) "sale" or "sell" means transfer of title of architectural paint for consideration,
8.16including a remote sale conducted through a sales outlet, catalog, Web site, or similar
8.17electronic means. Sale or sell includes a lease through which architectural paint is
8.18provided to a consumer by a producer, wholesaler, or retailer;
8.19(9) "stewardship assessment" means the amount added to the purchase price of
8.20architectural paint sold in the state that is necessary to cover the cost of collecting,
8.21transporting, and processing postconsumer architectural paint by the producer or
8.22stewardship organization pursuant to a product stewardship program;
8.23(10) "stewardship organization" means an organization appointed by one or more
8.24producers to act as an agent on behalf of the producer to design, submit, and administer a
8.25product stewardship program under this section; and
8.26(11) "stewardship plan" means a detailed plan describing the manner in which a
8.27product stewardship program under subdivision 2 will be implemented.
8.28 Subd. 2. Product stewardship program. For architectural paint sold in the state,
8.29producers must, individually or through a stewardship organization, implement and
8.30finance a statewide product stewardship program that manages the architectural paint by
8.31reducing the paint's waste generation, promoting its reuse and recycling, and providing for
8.32negotiation and execution of agreements to collect, transport, and process the architectural
8.33paint for end-of-life recycling and reuse.
8.34 Subd. 3. Requirement for sale. (a) On and after July 1, 2014, or three months after
8.35program plan approval, whichever is sooner, no producer, wholesaler, or retailer may sell
9.1or offer for sale in the state architectural paint unless the paint's producer participates in an
9.2approved stewardship plan, either individually or through a stewardship organization.
9.3(b) Each producer must operate a product stewardship program approved by the
9.4agency or enter into an agreement with a stewardship organization to operate, on the
9.5producer's behalf, a product stewardship program approved by the agency.
9.6 Subd. 4. Requirement to submit plan. (a) On or before March 1, 2014, and before
9.7offering architectural paint for sale in the state, a producer must submit a stewardship
9.8plan to the agency and receive approval of the plan or must submit documentation to the
9.9agency that demonstrates the producer has entered into an agreement with a stewardship
9.10organization to be an active participant in an approved product stewardship program as
9.11described in subdivision 2. A stewardship plan must include all elements required under
9.12subdivision 5.
9.13(b) An amendment to the plan, if determined necessary by the commissioner, must
9.14be submitted every five years.
9.15(c) It is the responsibility of the entities responsible for each stewardship plan to
9.16notify the agency within 30 days of any significant changes or modifications to the plan or
9.17its implementation. Within 30 days of the notification, a written plan revision must be
9.18submitted to the agency for review and approval.
9.19 Subd. 5. Stewardship plan content. A stewardship plan must contain:
9.20(1) certification that the product stewardship program will accept all discarded
9.21paint regardless of which producer produced the architectural paint and its individual
9.22components;
9.23(2) contact information for the individual and the entity submitting the plan, a list of
9.24all producers participating in the product stewardship program, and the brands covered by
9.25the product stewardship program;
9.26(3) a description of the methods by which the discarded paint will be collected in all
9.27areas in the state without relying on end-of-life fees, including an explanation of how the
9.28collection system will be convenient and adequate to serve the needs of small businesses
9.29and residents in both urban and rural areas on an ongoing basis and a discussion of how
9.30the existing household hazardous waste infrastructure will be considered when selecting
9.31collection sites;
9.32(4) a description of how the adequacy of the collection program will be monitored
9.33and maintained;
9.34(5) the names and locations of collectors, transporters, and recyclers that will
9.35manage discarded paint;
10.1(6) a description of how the discarded paint and the paint's components will be
10.2safely and securely transported, tracked, and handled from collection through final
10.3recycling and processing;
10.4(7) a description of the method that will be used to reuse, deconstruct, or recycle
10.5the discarded paint to ensure that the paint's components, to the extent feasible, are
10.6transformed or remanufactured into finished products for use;
10.7(8) a description of the promotion and outreach activities that will be used to
10.8encourage participation in the collection and recycling programs and how the activities'
10.9effectiveness will be evaluated and the program modified, if necessary;
10.10(9) the proposed stewardship assessment. The producer or stewardship organization
10.11shall propose a uniform stewardship assessment for any architectural paint sold in the
10.12state. The proposed stewardship assessment shall be reviewed by an independent auditor
10.13to ensure that the assessment does not exceed the costs of the product stewardship program
10.14and the independent auditor shall recommend an amount for the stewardship assessment.
10.15The agency must approve the stewardship assessment;
10.16(10) evidence of adequate insurance and financial assurance that may be required for
10.17collection, handling, and disposal operations;
10.18(11) five-year performance goals, including an estimate of the percentage of
10.19discarded paint that will be collected, reused, and recycled during each of the first five
10.20years of the stewardship plan. The performance goals must include a specific goal for the
10.21amount of discarded paint that will be collected and recycled and reused during each year
10.22of the plan. The performance goals must be based on:
10.23(i) the most recent collection data available for the state;
10.24(ii) the estimated amount of architectural paint disposed of annually;
10.25(iii) the weight of the architectural paint that is expected to be available for collection
10.26annually; and
10.27(iv) actual collection data from other existing stewardship programs.
10.28The stewardship plan must state the methodology used to determine these goals; and
10.29(12) a discussion of the status of end markets for collected architectural paint and
10.30what, if any, additional end markets are needed to improve the functioning of the program.
10.31 Subd. 6. Consultation required. Each stewardship organization or individual
10.32producer submitting a stewardship plan must consult with stakeholders including
10.33retailers, contractors, collectors, recyclers, local government, and customers during the
10.34development of the plan.
10.35 Subd. 7. Agency review and approval. (a) Within 90 days after receipt of a proposed
10.36stewardship plan, the agency shall determine whether the plan complies with subdivision
11.14. If the agency approves a plan, the agency shall notify the applicant of the plan approval
11.2in writing. If the agency rejects a plan, the agency shall notify the applicant in writing of
11.3the reasons for rejecting the plan. An applicant whose plan is rejected by the agency must
11.4submit a revised plan to the agency within 60 days after receiving notice of rejection.
11.5(b) Any proposed changes to a stewardship plan must be approved by the agency
11.6in writing.
11.7 Subd. 8. Plan availability. All draft and approved stewardship plans shall be
11.8placed on the agency's Web site for at least 30 days and made available at the agency's
11.9headquarters for public review and comment.
11.10 Subd. 9. Conduct authorized. A producer or stewardship organization that
11.11organizes collection, transport, and processing of architectural paint under this section
11.12is immune from liability for the conduct under state laws relating to antitrust, restraint
11.13of trade, unfair trade practices, and other regulation of trade or commerce only to the
11.14extent that the conduct is necessary to plan and implement the producer's or organization's
11.15chosen organized collection or recycling system.
11.16 Subd. 10. Responsibility of producers. (a) On and after the date of implementation
11.17of a product stewardship program according to this section, a producer of architectural
11.18paint must add the stewardship assessment, as established under subdivision 5, clause (9),
11.19to the cost of architectural paint sold to retailers and distributors in the state by the producer.
11.20(b) Producers of architectural paint or the stewardship organization shall provide
11.21consumers with educational materials regarding the stewardship assessment and product
11.22stewardship program. The materials must include, but are not limited to, information
11.23regarding available end-of-life management options for architectural paint offered through
11.24the product stewardship program and information that notifies consumers that a charge
11.25for the operation of the product stewardship program is included in the purchase price of
11.26architectural paint sold in the state.
11.27 Subd. 11. Responsibility of retailers. (a) On and after July 1, 2014, or three months
11.28after program plan approval, whichever is sooner, no architectural paint may be sold in the
11.29state unless the paint's producer is participating in an approved stewardship plan.
11.30(b) On and after the implementation date of a product stewardship program
11.31according to this section, each retailer or distributor, as applicable, must add the amount of
11.32the stewardship assessment to the purchase price of all architectural paint sold in the state.
11.33(c) Any retailer may participate, on a voluntary basis, as a designated collection
11.34point pursuant to a product stewardship program under this section and in accordance
11.35with applicable law.
12.1(d) No retailer or distributor shall be found to be in violation of this subdivision if,
12.2on the date the architectural paint was ordered from the producer or its agent, the producer
12.3was listed as compliant on the agency's Web site according to subdivision 14.
12.4 Subd. 12. Stewardship reports. Beginning October 1, 2015, producers of
12.5architectural paint sold in the state must individually or through a stewardship organization
12.6submit an annual report to the agency describing the product stewardship program. At a
12.7minimum, the report must contain:
12.8(1) a description of the methods used to collect, transport, and process architectural
12.9paint in all regions of the state;
12.10(2) the weight of all architectural paint collected in all regions of the state and a
12.11comparison to the performance goals and recycling rates established in the stewardship
12.12plan;
12.13(3) the amount of unwanted architectural paint collected in the state by method of
12.14disposition, including reuse, recycling, and other methods of processing;
12.15(4) samples of educational materials provided to consumers and an evaluation of the
12.16effectiveness of the materials and the methods used to disseminate the materials; and
12.17(5) an independent financial audit.
12.18 Subd. 13. Sales information. Sales information provided to the commissioner
12.19under this section is classified as private or nonpublic data, as specified in section
12.20115A.06, subdivision 13.
12.21 Subd. 14. Agency responsibilities. The agency shall provide, on its Web site, a
12.22list of all compliant producers and brands participating in stewardship plans that the
12.23agency has approved and a list of all producers and brands the agency has identified as
12.24noncompliant with this section.
12.25 Subd. 15. Local government responsibilities. (a) A city, county, or other public
12.26agency may choose to participate voluntarily in a product stewardship program.
12.27(b) Cities, counties, and other public agencies are encouraged to work with producers
12.28and stewardship organizations to assist in meeting product stewardship program reuse and
12.29recycling obligations, by providing education and outreach or using other strategies.
12.30(c) A city, county, or other public agency that participates in a product stewardship
12.31program must report for the first year of the program to the agency using the reporting
12.32form provided by the agency on the cost savings as a result of participation and describe
12.33how the savings were used.
12.34 Subd. 16. Administrative fee. (a) The stewardship organization or individual
12.35producer submitting a stewardship plan shall pay the agency an annual administrative fee.
12.36The agency shall set the fee at an amount that, when paid by every stewardship organization
13.1or individual producer that submits a stewardship plan, is adequate to cover the agency's
13.2full costs of administering and enforcing this section. The agency may establish a variable
13.3fee based on relevant factors, including, but not limited to, the portion of architectural
13.4paint sold in the state by members of the organization compared to the total amount of
13.5architectural paint sold in the state by all organizations submitting a stewardship plan.
13.6(b) The total amount of annual fees collected under this subdivision must not exceed
13.7the amount necessary to recover costs incurred by the agency in connection with the
13.8administration and enforcement of this section.
13.9(c) The agency shall identify the direct program development or regulatory costs
13.10it incurs under this section before stewardship plans are submitted and shall establish a
13.11fee in an amount adequate to cover those costs, which shall be paid by a stewardship
13.12organization or individual producer that submits a stewardship plan. The commissioner
13.13must make the proposed fee available for public review and comment for at least 30 days.
13.14(d) A stewardship organization or individual producer subject to this section must
13.15pay the agency's administrative fee under paragraph (a) on or before July 1, 2014, and
13.16annually thereafter and the agency's onetime development fee under paragraph (c) on or
13.17before July 1 the year following submission of a stewardship plan. Each year after the
13.18initial payment, the annual administrative fee may not exceed five percent of the aggregate
13.19stewardship assessment collected for the preceding calendar year.
13.20(e) The agency shall deposit the fees collected under this section into a product
13.21stewardship account.
13.22 Sec. 3. [115A.142] PRIMARY BATTERIES; PRODUCT STEWARDSHIP
13.23PROGRAM; STEWARDSHIP PLAN.
13.24 Subdivision 1. Definitions. For purposes of this section, the following terms have
13.25the meaning given:
13.26(1) "brand" means a name, symbol, word, or mark that identifies a primary battery,
13.27rather than its components, and attributes the battery to the owner or licensee of the brand
13.28as the producer;
13.29(2) "discarded battery" means a primary battery that is no longer used for its
13.30manufactured purpose;
13.31 (3) "primary battery" means a battery weighing two kilograms or less that is not
13.32designed to be electrically recharged, including, but not limited to, alkaline manganese,
13.33carbon zinc, lithium, silver oxide, and zinc air batteries. Nonremovable batteries and
13.34medical devices as defined in the federal Food, Drug, and Cosmetic Act, United States
13.35Code, title 21, section 321(h), as amended, are exempted from this definition.
14.1(4) "producer" means a person that:
14.2(i) has legal ownership of the brand, brand name, or cobrand of a primary battery
14.3sold in the state;
14.4(ii) imports a primary battery branded by a producer that meets subclause (i) when
14.5the producer has no physical presence in the United States;
14.6(iii) if subclauses (i) and (ii) do not apply, makes an unbranded primary battery
14.7that is sold in the state; or
14.8(iv) sells a primary battery at wholesale or retail, does not have legal ownership of
14.9the brand, and elects to fulfill the responsibilities of the producer for the battery;
14.10(5) "recycling" means the process of collecting and preparing recyclable materials and
14.11reusing the materials in their original form or using them in manufacturing processes that
14.12do not cause the destruction of recyclable materials in a manner that precludes further use;
14.13(6) "retailer" means any person who offers primary batteries for sale at retail in
14.14the state;
14.15(7) "sale" or "sell" means transfer of title of a primary battery for consideration,
14.16including a remote sale conducted through a sales outlet, catalog, Web site, or similar
14.17electronic means. Sale or sell includes a lease through which a primary battery is provided
14.18to a consumer by a producer, wholesaler, or retailer;
14.19(8) "stewardship organization" means an organization appointed by one or more
14.20producers to act as an agent on behalf of the producer to design, submit, and administer a
14.21product stewardship program under this section; and
14.22(9) "stewardship plan" means a detailed plan describing the manner in which a
14.23product stewardship program under subdivision 2 will be implemented.
14.24 Subd. 2. Product stewardship program. For each primary battery sold in the
14.25state, producers must, individually or through a stewardship organization, implement
14.26and finance a statewide product stewardship program that manages primary batteries by
14.27reducing primary battery waste generation, promoting primary battery recycling, and
14.28providing for negotiation and execution of agreements to collect, transport, and process
14.29primary batteries for end-of-life recycling.
14.30 Subd. 3. Requirement for sale. (a) On and after December 1, 2014, or three months
14.31after program plan approval, whichever is sooner, no producer, wholesaler, or retailer may
14.32sell or offer for sale in the state a primary battery unless the battery's producer participates
14.33in an approved stewardship plan, either individually or through a stewardship organization.
14.34(b) Each producer must operate a product stewardship program approved by the
14.35agency or enter into an agreement with a stewardship organization to operate, on the
14.36producer's behalf, a product stewardship program approved by the agency.
15.1 Subd. 4. Requirement to submit plan. (a) On or before August 1, 2014, and before
15.2offering a primary battery for sale in the state, a producer must submit a stewardship
15.3plan to the agency and receive approval of the plan or must submit documentation to the
15.4agency that demonstrates the producer has entered into an agreement with a stewardship
15.5organization to be an active participant in an approved product stewardship program as
15.6described in subdivision 2. A stewardship plan must include all elements required under
15.7subdivision 5.
15.8(b) An amendment to the plan, if determined necessary by the commissioner, must
15.9be submitted every five years.
15.10(c) It is the responsibility of the entities responsible for each stewardship plan to
15.11notify the agency within 30 days of any significant changes or modifications to the plan or
15.12its implementation. Within 30 days of the notification, a written plan revision must be
15.13submitted to the agency for review and approval.
15.14 Subd. 5. Stewardship plan content. A stewardship plan must contain:
15.15(1) certification that the product stewardship program will accept discarded primary
15.16batteries regardless of which producer produced the batteries and their individual
15.17components;
15.18(2) contact information for the individual and the entity submitting the plan, a list of
15.19all producers participating in the product stewardship program, and the brands covered by
15.20the product stewardship program;
15.21(3) a description of the methods by which the discarded primary batteries will
15.22be collected in all areas in the state without relying on end-of-life fees, including an
15.23explanation of how the collection system will be convenient and adequate to serve the
15.24needs of small businesses and residents in both urban and rural areas on an ongoing basis;
15.25(4) a description of how the adequacy of the collection program will be monitored
15.26and maintained;
15.27(5) the names and locations of collectors, transporters, and recyclers that will
15.28manage discarded batteries;
15.29(6) a description of how the discarded batteries and the batteries' components will
15.30be safely and securely transported, tracked, and handled from collection through final
15.31recycling and processing;
15.32(7) a description of the method that will be used to recycle the discarded primary
15.33batteries to ensure that the batteries' components, to the extent feasible, are transformed or
15.34remanufactured into finished batteries for use;
16.1(8) a description of the promotion and outreach activities that will be used to
16.2encourage participation in the collection and recycling programs and how the activities'
16.3effectiveness will be evaluated and the program modified, if necessary;
16.4(9) evidence of adequate insurance and financial assurance that may be required for
16.5collection, handling, and disposal operations;
16.6(10) five-year performance goals, including an estimate of the percentage of
16.7discarded batteries that will be collected, reused, and recycled during each of the first five
16.8years of the stewardship plan. The performance goals must include a specific escalating
16.9goal for the amount of discarded batteries that will be collected and recycled during each
16.10year of the plan. The performance goals must be based on:
16.11(i) the most recent collection data available for the state;
16.12(ii) the estimated amount of primary batteries disposed of annually;
16.13(iii) the weight of primary batteries that is expected to be available for collection
16.14annually;
16.15(iv) actual collection data from other existing stewardship programs; and
16.16 (v) the market share of the producers participating in the plan.
16.17The stewardship plan must state the methodology used to determine these goals; and
16.18(11) a discussion of the status of end markets for discarded batteries and what, if any,
16.19additional end markets are needed to improve the functioning of the program.
16.20 Subd. 6. Consultation required. Each stewardship organization or individual
16.21producer submitting a stewardship plan must consult with stakeholders including retailers,
16.22collectors, recyclers, local government, and customers during the development of the plan.
16.23 Subd. 7. Agency review and approval. (a) Within 90 days after receipt of a proposed
16.24stewardship plan, the agency shall determine whether the plan complies with subdivision
16.255. If the agency approves a plan, the agency shall notify the applicant of the plan approval
16.26in writing. If the agency rejects a plan, the agency shall notify the applicant in writing of
16.27the reasons for rejecting the plan. An applicant whose plan is rejected by the agency must
16.28submit a revised plan to the agency within 60 days after receiving notice of rejection.
16.29(b) Any proposed changes to a stewardship plan must be approved by the agency
16.30in writing.
16.31 Subd. 8. Plan availability. All draft and approved stewardship plans shall be
16.32placed on the agency's Web site for at least 30 days and made available at the agency's
16.33headquarters for public review and comment.
16.34 Subd. 9. Conduct authorized. A producer or stewardship organization that
16.35organizes collection, transport, and processing of primary batteries under this section
16.36is immune from liability for the conduct under state laws relating to antitrust, restraint
17.1of trade, unfair trade practices, and other regulation of trade or commerce only to the
17.2extent that the conduct is necessary to plan and implement the producer's or organization's
17.3chosen organized collection or recycling system.
17.4 Subd. 10. Responsibility of retailers. (a) On and after December 1, 2014, or three
17.5months after program plan approval, whichever is sooner, no primary battery may be sold
17.6in the state unless the battery's producer is participating in an approved stewardship plan.
17.7(b) Any retailer may participate, on a voluntary basis, as a designated collection
17.8point pursuant to a product stewardship program under this section and in accordance
17.9with applicable law.
17.10(c) No retailer or distributor shall be found to be in violation of this subdivision if,
17.11on the date the primary battery was ordered from the producer or its agent, the producer
17.12was listed as compliant on the agency's Web site according to subdivision 13.
17.13 Subd. 11. Stewardship reports. Beginning March 1, 2016, producers of primary
17.14batteries sold in the state must individually or through a stewardship organization
17.15submit an annual report to the agency describing the product stewardship program. At a
17.16minimum, the report must contain:
17.17(1) a description of the methods used to collect, transport, and process primary
17.18batteries in all regions of the state;
17.19(2) the weight of all primary batteries collected in all regions of the state and a
17.20comparison to the performance goals and recycling rates established in the stewardship
17.21plan;
17.22(3) the amount of discarded primary batteries collected in the state by method of
17.23disposition, including recycling, and other methods of processing;
17.24(4) samples of educational materials provided to consumers and an evaluation of the
17.25effectiveness of the materials and the methods used to disseminate the materials; and
17.26(5) an independent financial audit of the stewardship organization.
17.27 Subd. 12. Data classification. Trade secret information, as defined under section
17.2813.37, submitted to the agency under this section is nonpublic data under section 13.37,
17.29subdivision 2.
17.30 Subd. 13. Sales information. Sales information provided to the commissioner
17.31under this section is classified as private or nonpublic data, as specified in section
17.32115A.06, subdivision 13.
17.33 Subd. 14. Local government responsibilities. (a) A city, county, or other public
17.34agency may choose to participate voluntarily in a product stewardship program.
18.1(b) Cities, counties, and other public agencies are encouraged to work with producers
18.2and stewardship organizations to assist in meeting product stewardship program recycling
18.3obligations, by providing education and outreach or using other strategies.
18.4(c) A city, county, or other public agency that participates in a product stewardship
18.5program must report for the first year of the program to the agency using the reporting
18.6form provided by the agency on the cost savings as a result of participation and describe
18.7how the savings were used.
18.8 Subd. 15. Administrative fee. (a) The stewardship organization or individual
18.9producer submitting a stewardship plan shall pay the agency an annual administrative fee.
18.10The agency shall set the fee at an amount that, when paid by every stewardship organization
18.11or individual producer that submits a stewardship plan, is adequate to cover the agency's
18.12full costs of administering and enforcing this section. The agency may establish a variable
18.13fee based on relevant factors, including, but not limited to, the portion of primary batteries
18.14sold in the state by members of the organization compared to the total amount of primary
18.15batteries sold in the state by all organizations submitting a stewardship plan.
18.16(b) The total amount of annual fees collected under this section must not exceed
18.17the amount necessary to recover costs incurred by the agency in connection with the
18.18administration and enforcement of this section.
18.19(c) The agency shall identify the direct program development or regulatory costs
18.20it incurs under this section before stewardship plans are submitted and shall establish a
18.21fee in an amount adequate to cover those costs, which shall be paid by a stewardship
18.22organization or individual producer that submits a stewardship plan. The commissioner
18.23must make the proposed fee available for public review and comment for at least 30 days.
18.24(d) A stewardship organization or individual producer subject to this section must
18.25pay the agency's administrative fee under paragraph (a) on or before July 1, 2015, and
18.26annually thereafter and the agency's onetime development fee under paragraph (c) on or
18.27before July 1 the year following submission of a stewardship plan.
18.28(e) The agency shall deposit the fees collected under this section into a product
18.29stewardship account.
18.30 Subd. 16. Exemption; medical device. The requirements of this section do not
18.31apply to a medical device as defined in the Food, Drug, and Cosmetic Act, United States
18.32Code, title 21, section 321, paragraph (h).
18.33 Subd. 17. Private enforcement. (a) The operator of a statewide product stewardship
18.34program established under subdivision 2 that incurs costs exceeding $5,000 to collect,
18.35handle, recycle, or properly dispose of discarded primary batteries sold or offered for sale
18.36in Minnesota by a producer who does not implement its own program or participate in a
19.1program implemented by a stewardship organization, may bring a civil action or actions
19.2to recover costs and fees as specified in paragraph (b) from each nonimplementing or
19.3nonparticipating producer who can reasonably be identified from a brand or marking on a
19.4used consumer battery or from other information.
19.5 (b) An action under paragraph (a) may be brought against one or more primary
19.6battery producers, provided that no such action may be commenced:
19.7 (1) prior to 60 days after written notice of the operator's intention to file suit has been
19.8provided to the agency and the defendant or defendants; or
19.9 (2) if the agency has commenced enforcement actions under subdivision 10 and is
19.10diligently pursuing such actions.
19.11 (c) In any action under paragraph (b), the plaintiff operator may recover from
19.12a defendant nonimplementing or nonparticipating primary battery producer costs the
19.13plaintiff incurred to collect, handle, recycle, or properly dispose of primary batteries
19.14reasonably identified as having originated from the defendant, plus the plaintiff's attorney
19.15fees and litigation costs.
19.16 Sec. 4. [115A.1425] REPORT TO LEGISLATURE AND GOVERNOR.
19.17As part of the report required under section 115A.121, the commissioner of the
19.18Pollution Control Agency shall provide a report to the governor and the legislature on the
19.19implementation of sections 115A.141, 115A.1415, and 115A.142.
19.20 Sec. 5. EFFECTIVE DATE.
19.21Sections 1 to 4 are effective July 1, 2013.
1.3report;proposing coding for new law in Minnesota Statutes, chapter 115A.
1.4BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
1.5 Section 1. [115A.141] CARPET PRODUCT STEWARDSHIP PROGRAM;
1.6STEWARDSHIP PLAN.
1.7 Subdivision 1. Definitions. For purposes of this section, the following terms have
1.8the meanings given:
1.9(1) "brand" means a name, symbol, word, or mark that identifies carpet, rather than its
1.10components, and attributes the carpet to the owner or licensee of the brand as the producer;
1.11(2) "carpet" means a manufactured article that is used in commercial or single or
1.12multifamily residential buildings, is affixed or placed on the floor or building walking
1.13surface as a decorative or functional building interior or exterior feature, and is primarily
1.14constructed of a top visible surface of synthetic face fibers or yarns or tufts attached to a
1.15backing system derived from synthetic or natural materials. Carpet includes, but is not
1.16limited to, a commercial or residential broadloom carpet or modular carpet tiles. Carpet
1.17includes a pad or underlayment used in conjunction with a carpet. Carpet does not include
1.18handmade rugs, area rugs, or mats;
1.19(3) "discarded carpet" means carpet that is no longer used for its manufactured
1.20purpose;
1.21(4) "producer" means a person that:
1.22(i) has legal ownership of the brand, brand name, or cobrand of carpet sold in the state;
1.23(ii) imports carpet branded by a producer that meets subclause (i) when the producer
1.24has no physical presence in the United States;
2.1(iii) if subclauses (i) and (ii) do not apply, makes unbranded carpet that is sold
2.2in the state; or
2.3(iv) sells carpet at wholesale or retail, does not have legal ownership of the brand,
2.4and elects to fulfill the responsibilities of the producer for the carpet;
2.5(5) "recycling" means the process of collecting and preparing recyclable materials and
2.6reusing the materials in their original form or using them in manufacturing processes that
2.7do not cause the destruction of recyclable materials in a manner that precludes further use;
2.8(6) "retailer" means any person who offers carpet for sale at retail in the state;
2.9(7) "reuse" means donating or selling a collected carpet back into the market for
2.10its original intended use, when the carpet retains its original purpose and performance
2.11characteristics;
2.12(8) "sale" or "sell" means transfer of title of carpet for consideration, including a
2.13remote sale conducted through a sales outlet, catalog, Web site, or similar electronic
2.14means. Sale or sell includes a lease through which carpet is provided to a consumer by a
2.15producer, wholesaler, or retailer;
2.16(9) "stewardship assessment" means the amount added to the purchase price of
2.17carpet sold in the state that is necessary to cover the cost of collecting, transporting, and
2.18processing postconsumer carpets by the producer or stewardship organization pursuant to
2.19a product stewardship program;
2.20(10) "stewardship organization" means an organization appointed by one or more
2.21producers to act as an agent on behalf of the producer to design, submit, and administer a
2.22product stewardship program under this section; and
2.23(11) "stewardship plan" means a detailed plan describing the manner in which a
2.24product stewardship program under subdivision 2 will be implemented.
2.25 Subd. 2. Product stewardship program. For all carpet sold in the state, producers
2.26must, individually or through a stewardship organization, implement and finance a
2.27statewide product stewardship program that manages carpet by reducing carpet's waste
2.28generation, promoting its reuse and recycling, and providing for negotiation and execution
2.29of agreements to collect, transport, and process carpet for end-of-life recycling and reuse.
2.30 Subd. 3. Requirement for sale. (a) On and after July 1, 2015, no producer,
2.31wholesaler, or retailer may sell carpet or offer carpet for sale in the state unless the carpet's
2.32producer participates in an approved stewardship plan, either individually or through a
2.33stewardship organization.
2.34(b) Each producer must operate a product stewardship program approved by the
2.35agency or enter into an agreement with a stewardship organization to operate, on the
2.36producer's behalf, a product stewardship program approved by the agency.
3.1 Subd. 4. Requirement to submit plan. (a) On or before March 1, 2015, and before
3.2offering carpet for sale in the state, a producer must submit a stewardship plan to the
3.3agency and receive approval of the plan or must submit documentation to the agency that
3.4demonstrates the producer has entered into an agreement with a stewardship organization
3.5to be an active participant in an approved product stewardship program as described in
3.6subdivision 2. A stewardship plan must include all elements required under subdivision 5.
3.7(b) At least every three years, a producer or stewardship organization operating a
3.8product stewardship program must update the stewardship plan and submit the updated
3.9plan to the agency for review and approval.
3.10(c) It is the responsibility of the entities responsible for each stewardship plan to
3.11notify the agency within 30 days of any significant changes or modifications to the plan or
3.12its implementation. Within 30 days of the notification, a written plan revision must be
3.13submitted to the agency for review and approval.
3.14 Subd. 5. Stewardship plan content. A stewardship plan must contain:
3.15(1) certification that the product stewardship program will accept all discarded carpet
3.16regardless of which producer produced the carpet and its individual components;
3.17(2) contact information for the individual and the entity submitting the plan and for
3.18all producers participating in the product stewardship program;
3.19(3) a description of the methods by which discarded carpet will be collected in all
3.20areas in the state without relying on end-of-life fees, including an explanation of how the
3.21collection system will be convenient and adequate to serve the needs of small businesses
3.22and residents in the seven-county metropolitan area initially and expanding to areas
3.23outside of the seven-county metropolitan area starting July 1, 2016;
3.24(4) a description of how the adequacy of the collection program will be monitored
3.25and maintained;
3.26(5) the names and locations of collectors, transporters, and recycling facilities that
3.27will manage discarded carpet;
3.28(6) a description of how the discarded carpet and the carpet's components will
3.29be safely and securely transported, tracked, and handled from collection through final
3.30recycling and processing;
3.31(7) a description of the method that will be used to reuse, deconstruct, or recycle
3.32the discarded carpet to ensure that the product's components, to the extent feasible, are
3.33transformed or remanufactured into finished products for use;
3.34(8) a description of the promotion and outreach activities that will be used to
3.35encourage participation in the collection and recycling programs and how the activities'
3.36effectiveness will be evaluated and the program modified, if necessary;
4.1(9) the proposed stewardship assessment. The producer or stewardship organization
4.2shall propose a stewardship assessment for any carpet sold in the state. The proposed
4.3stewardship assessment shall be reviewed by an independent auditor to ensure that
4.4the assessment does not exceed the costs of the product stewardship program and the
4.5independent auditor shall recommend an amount for the stewardship assessment;
4.6(10) evidence of adequate insurance and financial assurance that may be required for
4.7collection, handling, and disposal operations;
4.8(11) five-year performance goals, including an estimate of the percentage of
4.9discarded carpet that will be collected, reused, and recycled during each of the first five
4.10years of the stewardship plan. The performance goals must include a specific escalating
4.11goal for the amount of discarded carpet that will be collected and recycled and reused
4.12during each year of the plan. The performance goals must be based on:
4.13(i) the most recent collection data available for the state;
4.14(ii) the amount of carpet disposed of annually;
4.15(iii) the weight of the carpet that is expected to be available for collection annually;
4.16and
4.17(iv) actual collection data from other existing stewardship programs.
4.18The stewardship plan must state the methodology used to determine these goals;
4.19(12) carpet design changes that will be considered to reduce toxicity, water use, or
4.20energy use or to increase recycled content, recyclability, or carpet longevity; and
4.21(13) a discussion of market development opportunities to expand use of recovered
4.22carpet, with consideration of expanding processing activity proximate to areas of collection.
4.23 Subd. 6. Consultation required. (a) Each stewardship organization or individual
4.24producer submitting a stewardship plan must consult with stakeholders including retailers,
4.25installers, collectors, recyclers, local government, customers, and citizens during the
4.26development of the plan, solicit stakeholder comments, and attempt to address any
4.27stakeholder concerns regarding the plan before submitting the plan to the agency for review.
4.28(b) The producer or stewardship organization must invite comments from local
4.29governments, communities, and citizens to report their satisfaction with services, including
4.30education and outreach, provided by the product stewardship program. The information
4.31must be submitted to the agency and used by the agency in reviewing proposed updates or
4.32changes to the stewardship plan.
4.33 Subd. 7. Agency review and approval. (a) Within 90 days after receipt of a proposed
4.34stewardship plan, the agency shall determine whether the plan complies with subdivision
4.355. If the agency approves a plan, the agency shall notify the applicant of the plan approval
4.36in writing. If the agency rejects a plan, the agency shall notify the applicant in writing of
5.1the reasons for rejecting the plan. An applicant whose plan is rejected by the agency must
5.2submit a revised plan to the agency within 60 days after receiving notice of rejection.
5.3(b) Any proposed changes to a stewardship plan must be approved by the agency
5.4in writing.
5.5 Subd. 8. Plan availability. All draft and approved stewardship plans shall be
5.6placed on the agency's Web site for at least 30 days and made available at the agency's
5.7headquarters for public review and comment.
5.8 Subd. 9. Conduct authorized. A producer or stewardship organization that
5.9organizes collection, transport, and processing of carpet under this section is immune
5.10from liability for the conduct under state laws relating to antitrust, restraint of trade,
5.11unfair trade practices, and other regulation of trade or commerce only to the extent that
5.12the conduct is necessary to plan and implement the producer's or organization's chosen
5.13organized collection or recycling system.
5.14 Subd. 10. Responsibility of producers. (a) On and after the date of implementation
5.15of a product stewardship program under this section, a producer of carpet must add the
5.16stewardship assessment, as established according to subdivision 5, clause (9), to the cost
5.17of the carpet sold to retailers and distributors in the state by the producer.
5.18(b) Producers of carpet or the stewardship organization shall provide consumers
5.19with educational materials regarding the stewardship assessment and product stewardship
5.20program. The materials must include, but are not limited to, information regarding available
5.21end-of-life management options for carpet offered through the product stewardship
5.22program and information that notifies consumers that a charge for the operation of the
5.23product stewardship program is included in the purchase price of carpet sold in the state.
5.24 Subd. 11. Responsibility of retailers. (a) On and after July 1, 2015, no carpet may
5.25be sold in the state unless the carpet's producer is participating in an approved stewardship
5.26plan.
5.27(b) On and after the implementation date of a product stewardship program under
5.28this section, each retailer or distributor, as applicable, must add the amount of the
5.29stewardship assessment to the purchase price of all carpet sold in the state.
5.30(c) Any retailer may participate, on a voluntary basis, as a designated collection
5.31point pursuant to a product stewardship program under this section and in accordance
5.32with applicable law.
5.33(d) No retailer or distributor shall be found to be in violation of this subdivision if,
5.34on the date the carpet was ordered from the producer or its agent, the producer was listed
5.35as compliant on the agency's Web site according to subdivision 14.
6.1 Subd. 12. Stewardship reports. Beginning October 1, 2016, producers of carpet
6.2sold in the state must individually or through a stewardship organization submit an
6.3annual report to the agency describing the product stewardship program. At a minimum,
6.4the report must contain:
6.5(1) a description of the methods used to collect, transport, and process carpet in all
6.6regions of the state;
6.7(2) the weight of all carpet collected in all regions of the state and a comparison to
6.8the performance goals and recycling rates established in the stewardship plan;
6.9(3) the amount of unwanted carpet collected in the state by method of disposition,
6.10including reuse, recycling, and other methods of processing;
6.11(4) identification of the facilities processing carpet and the number and weight
6.12processed at each facility;
6.13(5) an evaluation of the program's funding mechanism;
6.14(6) samples of educational materials provided to consumers and an evaluation of the
6.15effectiveness of the materials and the methods used to disseminate the materials; and
6.16(7) a description of progress made toward achieving carpet design changes according
6.17to subdivision 5, clause (12).
6.18 Subd. 13. Sales information. Sales information provided to the commissioner
6.19under this section is classified as private or nonpublic data, as specified in section
6.20115A.06, subdivision 13.
6.21 Subd. 14. Agency responsibilities. The agency shall provide, on its Web site, a
6.22list of all compliant producers and brands participating in stewardship plans that the
6.23agency has approved and a list of all producers and brands the agency has identified as
6.24noncompliant with this section.
6.25 Subd. 15. Local government responsibilities. (a) A city, county, or other public
6.26agency may choose to participate voluntarily in a carpet product stewardship program.
6.27(b) Cities, counties, and other public agencies are encouraged to work with producers
6.28and stewardship organizations to assist in meeting product stewardship program recycling
6.29obligations, by providing education and outreach or using other strategies.
6.30(c) A city, county, or other public agency that participates in a product stewardship
6.31program must report for the first year of the program to the agency using the reporting
6.32form provided by the agency on the cost savings as a result of participation and describe
6.33how the savings were used.
6.34 Subd. 16. Administrative fee. (a) The stewardship organization or individual
6.35producer submitting a stewardship plan shall pay the agency an annual administrative
6.36fee. The agency shall set the fee at an amount that, when paid by every stewardship
7.1organization or individual producer that submits a stewardship plan, is adequate to cover
7.2the agency's full costs of administering and enforcing this section. The agency may
7.3establish a variable fee based on relevant factors, including, but not limited to, the portion
7.4of carpet sold in the state by members of the organization compared to the total amount of
7.5carpet sold in the state by all organizations submitting a stewardship plan.
7.6(b) The total amount of annual fees collected under this subdivision must not
7.7exceed the amount necessary to cover costs incurred by the agency in connection with the
7.8administration and enforcement of this section.
7.9(c) The agency shall identify the direct program development or regulatory costs
7.10it incurs under this section before stewardship plans are submitted and shall establish a
7.11fee in an amount adequate to cover those costs, which shall be paid by a stewardship
7.12organization or individual producer that submits a stewardship plan.
7.13(d) A stewardship organization or individual producer subject to this subdivision
7.14must pay the agency's administrative fee under paragraph (a) on or before July 1, 2015,
7.15and annually thereafter and the agency's onetime development fee under paragraph (c) on
7.16or before July 1 the year following submission of a stewardship plan. Each year after the
7.17initial payment, the annual administrative fee may not exceed five percent of the aggregate
7.18stewardship assessment collected for the preceding calendar year.
7.19(e) The agency shall deposit the fees collected under this section into a product
7.20stewardship account.
7.21 Sec. 2. [115A.1415] ARCHITECTURAL PAINT; PRODUCT STEWARDSHIP
7.22PROGRAM; STEWARDSHIP PLAN.
7.23 Subdivision 1. Definitions. For purposes of this section, the following terms have
7.24the meanings given:
7.25(1) "architectural paint" means interior and exterior architectural coatings sold in
7.26containers of five gallons or less. Architectural paint does not include industrial coatings,
7.27original equipment coatings, or specialty coatings;
7.28(2) "brand" means a name, symbol, word, or mark that identifies architectural paint,
7.29rather than its components, and attributes the paint to the owner or licensee of the brand as
7.30the producer;
7.31(3) "discarded paint" means architectural paint that is no longer used for its
7.32manufactured purpose;
7.33(4) "producer" means a person that:
7.34(i) has legal ownership of the brand, brand name, or cobrand of architectural paint
7.35sold in the state;
8.1(ii) imports architectural paint branded by a producer that meets subclause (i) when
8.2the producer has no physical presence in the United States;
8.3(iii) if subclauses (i) and (ii) do not apply, makes unbranded architectural paint
8.4that is sold in the state; or
8.5(iv) sells architectural paint at wholesale or retail, does not have legal ownership of
8.6the brand, and elects to fulfill the responsibilities of the producer for the architectural paint;
8.7(5) "recycling" means the process of collecting and preparing recyclable materials and
8.8reusing the materials in their original form or using them in manufacturing processes that
8.9do not cause the destruction of recyclable materials in a manner that precludes further use;
8.10(6) "retailer" means any person who offers architectural paint for sale at retail in
8.11the state;
8.12(7) "reuse" means donating or selling collected architectural paint back into the
8.13market for its original intended use, when the architectural paint retains its original
8.14purpose and performance characteristics;
8.15(8) "sale" or "sell" means transfer of title of architectural paint for consideration,
8.16including a remote sale conducted through a sales outlet, catalog, Web site, or similar
8.17electronic means. Sale or sell includes a lease through which architectural paint is
8.18provided to a consumer by a producer, wholesaler, or retailer;
8.19(9) "stewardship assessment" means the amount added to the purchase price of
8.20architectural paint sold in the state that is necessary to cover the cost of collecting,
8.21transporting, and processing postconsumer architectural paint by the producer or
8.22stewardship organization pursuant to a product stewardship program;
8.23(10) "stewardship organization" means an organization appointed by one or more
8.24producers to act as an agent on behalf of the producer to design, submit, and administer a
8.25product stewardship program under this section; and
8.26(11) "stewardship plan" means a detailed plan describing the manner in which a
8.27product stewardship program under subdivision 2 will be implemented.
8.28 Subd. 2. Product stewardship program. For architectural paint sold in the state,
8.29producers must, individually or through a stewardship organization, implement and
8.30finance a statewide product stewardship program that manages the architectural paint by
8.31reducing the paint's waste generation, promoting its reuse and recycling, and providing for
8.32negotiation and execution of agreements to collect, transport, and process the architectural
8.33paint for end-of-life recycling and reuse.
8.34 Subd. 3. Requirement for sale. (a) On and after July 1, 2014, or three months after
8.35program plan approval, whichever is sooner, no producer, wholesaler, or retailer may sell
9.1or offer for sale in the state architectural paint unless the paint's producer participates in an
9.2approved stewardship plan, either individually or through a stewardship organization.
9.3(b) Each producer must operate a product stewardship program approved by the
9.4agency or enter into an agreement with a stewardship organization to operate, on the
9.5producer's behalf, a product stewardship program approved by the agency.
9.6 Subd. 4. Requirement to submit plan. (a) On or before March 1, 2014, and before
9.7offering architectural paint for sale in the state, a producer must submit a stewardship
9.8plan to the agency and receive approval of the plan or must submit documentation to the
9.9agency that demonstrates the producer has entered into an agreement with a stewardship
9.10organization to be an active participant in an approved product stewardship program as
9.11described in subdivision 2. A stewardship plan must include all elements required under
9.12subdivision 5.
9.13(b) An amendment to the plan, if determined necessary by the commissioner, must
9.14be submitted every five years.
9.15(c) It is the responsibility of the entities responsible for each stewardship plan to
9.16notify the agency within 30 days of any significant changes or modifications to the plan or
9.17its implementation. Within 30 days of the notification, a written plan revision must be
9.18submitted to the agency for review and approval.
9.19 Subd. 5. Stewardship plan content. A stewardship plan must contain:
9.20(1) certification that the product stewardship program will accept all discarded
9.21paint regardless of which producer produced the architectural paint and its individual
9.22components;
9.23(2) contact information for the individual and the entity submitting the plan, a list of
9.24all producers participating in the product stewardship program, and the brands covered by
9.25the product stewardship program;
9.26(3) a description of the methods by which the discarded paint will be collected in all
9.27areas in the state without relying on end-of-life fees, including an explanation of how the
9.28collection system will be convenient and adequate to serve the needs of small businesses
9.29and residents in both urban and rural areas on an ongoing basis and a discussion of how
9.30the existing household hazardous waste infrastructure will be considered when selecting
9.31collection sites;
9.32(4) a description of how the adequacy of the collection program will be monitored
9.33and maintained;
9.34(5) the names and locations of collectors, transporters, and recyclers that will
9.35manage discarded paint;
10.1(6) a description of how the discarded paint and the paint's components will be
10.2safely and securely transported, tracked, and handled from collection through final
10.3recycling and processing;
10.4(7) a description of the method that will be used to reuse, deconstruct, or recycle
10.5the discarded paint to ensure that the paint's components, to the extent feasible, are
10.6transformed or remanufactured into finished products for use;
10.7(8) a description of the promotion and outreach activities that will be used to
10.8encourage participation in the collection and recycling programs and how the activities'
10.9effectiveness will be evaluated and the program modified, if necessary;
10.10(9) the proposed stewardship assessment. The producer or stewardship organization
10.11shall propose a uniform stewardship assessment for any architectural paint sold in the
10.12state. The proposed stewardship assessment shall be reviewed by an independent auditor
10.13to ensure that the assessment does not exceed the costs of the product stewardship program
10.14and the independent auditor shall recommend an amount for the stewardship assessment.
10.15The agency must approve the stewardship assessment;
10.16(10) evidence of adequate insurance and financial assurance that may be required for
10.17collection, handling, and disposal operations;
10.18(11) five-year performance goals, including an estimate of the percentage of
10.19discarded paint that will be collected, reused, and recycled during each of the first five
10.20years of the stewardship plan. The performance goals must include a specific goal for the
10.21amount of discarded paint that will be collected and recycled and reused during each year
10.22of the plan. The performance goals must be based on:
10.23(i) the most recent collection data available for the state;
10.24(ii) the estimated amount of architectural paint disposed of annually;
10.25(iii) the weight of the architectural paint that is expected to be available for collection
10.26annually; and
10.27(iv) actual collection data from other existing stewardship programs.
10.28The stewardship plan must state the methodology used to determine these goals; and
10.29(12) a discussion of the status of end markets for collected architectural paint and
10.30what, if any, additional end markets are needed to improve the functioning of the program.
10.31 Subd. 6. Consultation required. Each stewardship organization or individual
10.32producer submitting a stewardship plan must consult with stakeholders including
10.33retailers, contractors, collectors, recyclers, local government, and customers during the
10.34development of the plan.
10.35 Subd. 7. Agency review and approval. (a) Within 90 days after receipt of a proposed
10.36stewardship plan, the agency shall determine whether the plan complies with subdivision
11.14. If the agency approves a plan, the agency shall notify the applicant of the plan approval
11.2in writing. If the agency rejects a plan, the agency shall notify the applicant in writing of
11.3the reasons for rejecting the plan. An applicant whose plan is rejected by the agency must
11.4submit a revised plan to the agency within 60 days after receiving notice of rejection.
11.5(b) Any proposed changes to a stewardship plan must be approved by the agency
11.6in writing.
11.7 Subd. 8. Plan availability. All draft and approved stewardship plans shall be
11.8placed on the agency's Web site for at least 30 days and made available at the agency's
11.9headquarters for public review and comment.
11.10 Subd. 9. Conduct authorized. A producer or stewardship organization that
11.11organizes collection, transport, and processing of architectural paint under this section
11.12is immune from liability for the conduct under state laws relating to antitrust, restraint
11.13of trade, unfair trade practices, and other regulation of trade or commerce only to the
11.14extent that the conduct is necessary to plan and implement the producer's or organization's
11.15chosen organized collection or recycling system.
11.16 Subd. 10. Responsibility of producers. (a) On and after the date of implementation
11.17of a product stewardship program according to this section, a producer of architectural
11.18paint must add the stewardship assessment, as established under subdivision 5, clause (9),
11.19to the cost of architectural paint sold to retailers and distributors in the state by the producer.
11.20(b) Producers of architectural paint or the stewardship organization shall provide
11.21consumers with educational materials regarding the stewardship assessment and product
11.22stewardship program. The materials must include, but are not limited to, information
11.23regarding available end-of-life management options for architectural paint offered through
11.24the product stewardship program and information that notifies consumers that a charge
11.25for the operation of the product stewardship program is included in the purchase price of
11.26architectural paint sold in the state.
11.27 Subd. 11. Responsibility of retailers. (a) On and after July 1, 2014, or three months
11.28after program plan approval, whichever is sooner, no architectural paint may be sold in the
11.29state unless the paint's producer is participating in an approved stewardship plan.
11.30(b) On and after the implementation date of a product stewardship program
11.31according to this section, each retailer or distributor, as applicable, must add the amount of
11.32the stewardship assessment to the purchase price of all architectural paint sold in the state.
11.33(c) Any retailer may participate, on a voluntary basis, as a designated collection
11.34point pursuant to a product stewardship program under this section and in accordance
11.35with applicable law.
12.1(d) No retailer or distributor shall be found to be in violation of this subdivision if,
12.2on the date the architectural paint was ordered from the producer or its agent, the producer
12.3was listed as compliant on the agency's Web site according to subdivision 14.
12.4 Subd. 12. Stewardship reports. Beginning October 1, 2015, producers of
12.5architectural paint sold in the state must individually or through a stewardship organization
12.6submit an annual report to the agency describing the product stewardship program. At a
12.7minimum, the report must contain:
12.8(1) a description of the methods used to collect, transport, and process architectural
12.9paint in all regions of the state;
12.10(2) the weight of all architectural paint collected in all regions of the state and a
12.11comparison to the performance goals and recycling rates established in the stewardship
12.12plan;
12.13(3) the amount of unwanted architectural paint collected in the state by method of
12.14disposition, including reuse, recycling, and other methods of processing;
12.15(4) samples of educational materials provided to consumers and an evaluation of the
12.16effectiveness of the materials and the methods used to disseminate the materials; and
12.17(5) an independent financial audit.
12.18 Subd. 13. Sales information. Sales information provided to the commissioner
12.19under this section is classified as private or nonpublic data, as specified in section
12.20115A.06, subdivision 13.
12.21 Subd. 14. Agency responsibilities. The agency shall provide, on its Web site, a
12.22list of all compliant producers and brands participating in stewardship plans that the
12.23agency has approved and a list of all producers and brands the agency has identified as
12.24noncompliant with this section.
12.25 Subd. 15. Local government responsibilities. (a) A city, county, or other public
12.26agency may choose to participate voluntarily in a product stewardship program.
12.27(b) Cities, counties, and other public agencies are encouraged to work with producers
12.28and stewardship organizations to assist in meeting product stewardship program reuse and
12.29recycling obligations, by providing education and outreach or using other strategies.
12.30(c) A city, county, or other public agency that participates in a product stewardship
12.31program must report for the first year of the program to the agency using the reporting
12.32form provided by the agency on the cost savings as a result of participation and describe
12.33how the savings were used.
12.34 Subd. 16. Administrative fee. (a) The stewardship organization or individual
12.35producer submitting a stewardship plan shall pay the agency an annual administrative fee.
12.36The agency shall set the fee at an amount that, when paid by every stewardship organization
13.1or individual producer that submits a stewardship plan, is adequate to cover the agency's
13.2full costs of administering and enforcing this section. The agency may establish a variable
13.3fee based on relevant factors, including, but not limited to, the portion of architectural
13.4paint sold in the state by members of the organization compared to the total amount of
13.5architectural paint sold in the state by all organizations submitting a stewardship plan.
13.6(b) The total amount of annual fees collected under this subdivision must not exceed
13.7the amount necessary to recover costs incurred by the agency in connection with the
13.8administration and enforcement of this section.
13.9(c) The agency shall identify the direct program development or regulatory costs
13.10it incurs under this section before stewardship plans are submitted and shall establish a
13.11fee in an amount adequate to cover those costs, which shall be paid by a stewardship
13.12organization or individual producer that submits a stewardship plan. The commissioner
13.13must make the proposed fee available for public review and comment for at least 30 days.
13.14(d) A stewardship organization or individual producer subject to this section must
13.15pay the agency's administrative fee under paragraph (a) on or before July 1, 2014, and
13.16annually thereafter and the agency's onetime development fee under paragraph (c) on or
13.17before July 1 the year following submission of a stewardship plan. Each year after the
13.18initial payment, the annual administrative fee may not exceed five percent of the aggregate
13.19stewardship assessment collected for the preceding calendar year.
13.20(e) The agency shall deposit the fees collected under this section into a product
13.21stewardship account.
13.22 Sec. 3. [115A.142] PRIMARY BATTERIES; PRODUCT STEWARDSHIP
13.23PROGRAM; STEWARDSHIP PLAN.
13.24 Subdivision 1. Definitions. For purposes of this section, the following terms have
13.25the meaning given:
13.26(1) "brand" means a name, symbol, word, or mark that identifies a primary battery,
13.27rather than its components, and attributes the battery to the owner or licensee of the brand
13.28as the producer;
13.29(2) "discarded battery" means a primary battery that is no longer used for its
13.30manufactured purpose;
13.31 (3) "primary battery" means a battery weighing two kilograms or less that is not
13.32designed to be electrically recharged, including, but not limited to, alkaline manganese,
13.33carbon zinc, lithium, silver oxide, and zinc air batteries. Nonremovable batteries and
13.34medical devices as defined in the federal Food, Drug, and Cosmetic Act, United States
13.35Code, title 21, section 321(h), as amended, are exempted from this definition.
14.1(4) "producer" means a person that:
14.2(i) has legal ownership of the brand, brand name, or cobrand of a primary battery
14.3sold in the state;
14.4(ii) imports a primary battery branded by a producer that meets subclause (i) when
14.5the producer has no physical presence in the United States;
14.6(iii) if subclauses (i) and (ii) do not apply, makes an unbranded primary battery
14.7that is sold in the state; or
14.8(iv) sells a primary battery at wholesale or retail, does not have legal ownership of
14.9the brand, and elects to fulfill the responsibilities of the producer for the battery;
14.10(5) "recycling" means the process of collecting and preparing recyclable materials and
14.11reusing the materials in their original form or using them in manufacturing processes that
14.12do not cause the destruction of recyclable materials in a manner that precludes further use;
14.13(6) "retailer" means any person who offers primary batteries for sale at retail in
14.14the state;
14.15(7) "sale" or "sell" means transfer of title of a primary battery for consideration,
14.16including a remote sale conducted through a sales outlet, catalog, Web site, or similar
14.17electronic means. Sale or sell includes a lease through which a primary battery is provided
14.18to a consumer by a producer, wholesaler, or retailer;
14.19(8) "stewardship organization" means an organization appointed by one or more
14.20producers to act as an agent on behalf of the producer to design, submit, and administer a
14.21product stewardship program under this section; and
14.22(9) "stewardship plan" means a detailed plan describing the manner in which a
14.23product stewardship program under subdivision 2 will be implemented.
14.24 Subd. 2. Product stewardship program. For each primary battery sold in the
14.25state, producers must, individually or through a stewardship organization, implement
14.26and finance a statewide product stewardship program that manages primary batteries by
14.27reducing primary battery waste generation, promoting primary battery recycling, and
14.28providing for negotiation and execution of agreements to collect, transport, and process
14.29primary batteries for end-of-life recycling.
14.30 Subd. 3. Requirement for sale. (a) On and after December 1, 2014, or three months
14.31after program plan approval, whichever is sooner, no producer, wholesaler, or retailer may
14.32sell or offer for sale in the state a primary battery unless the battery's producer participates
14.33in an approved stewardship plan, either individually or through a stewardship organization.
14.34(b) Each producer must operate a product stewardship program approved by the
14.35agency or enter into an agreement with a stewardship organization to operate, on the
14.36producer's behalf, a product stewardship program approved by the agency.
15.1 Subd. 4. Requirement to submit plan. (a) On or before August 1, 2014, and before
15.2offering a primary battery for sale in the state, a producer must submit a stewardship
15.3plan to the agency and receive approval of the plan or must submit documentation to the
15.4agency that demonstrates the producer has entered into an agreement with a stewardship
15.5organization to be an active participant in an approved product stewardship program as
15.6described in subdivision 2. A stewardship plan must include all elements required under
15.7subdivision 5.
15.8(b) An amendment to the plan, if determined necessary by the commissioner, must
15.9be submitted every five years.
15.10(c) It is the responsibility of the entities responsible for each stewardship plan to
15.11notify the agency within 30 days of any significant changes or modifications to the plan or
15.12its implementation. Within 30 days of the notification, a written plan revision must be
15.13submitted to the agency for review and approval.
15.14 Subd. 5. Stewardship plan content. A stewardship plan must contain:
15.15(1) certification that the product stewardship program will accept discarded primary
15.16batteries regardless of which producer produced the batteries and their individual
15.17components;
15.18(2) contact information for the individual and the entity submitting the plan, a list of
15.19all producers participating in the product stewardship program, and the brands covered by
15.20the product stewardship program;
15.21(3) a description of the methods by which the discarded primary batteries will
15.22be collected in all areas in the state without relying on end-of-life fees, including an
15.23explanation of how the collection system will be convenient and adequate to serve the
15.24needs of small businesses and residents in both urban and rural areas on an ongoing basis;
15.25(4) a description of how the adequacy of the collection program will be monitored
15.26and maintained;
15.27(5) the names and locations of collectors, transporters, and recyclers that will
15.28manage discarded batteries;
15.29(6) a description of how the discarded batteries and the batteries' components will
15.30be safely and securely transported, tracked, and handled from collection through final
15.31recycling and processing;
15.32(7) a description of the method that will be used to recycle the discarded primary
15.33batteries to ensure that the batteries' components, to the extent feasible, are transformed or
15.34remanufactured into finished batteries for use;
16.1(8) a description of the promotion and outreach activities that will be used to
16.2encourage participation in the collection and recycling programs and how the activities'
16.3effectiveness will be evaluated and the program modified, if necessary;
16.4(9) evidence of adequate insurance and financial assurance that may be required for
16.5collection, handling, and disposal operations;
16.6(10) five-year performance goals, including an estimate of the percentage of
16.7discarded batteries that will be collected, reused, and recycled during each of the first five
16.8years of the stewardship plan. The performance goals must include a specific escalating
16.9goal for the amount of discarded batteries that will be collected and recycled during each
16.10year of the plan. The performance goals must be based on:
16.11(i) the most recent collection data available for the state;
16.12(ii) the estimated amount of primary batteries disposed of annually;
16.13(iii) the weight of primary batteries that is expected to be available for collection
16.14annually;
16.15(iv) actual collection data from other existing stewardship programs; and
16.16 (v) the market share of the producers participating in the plan.
16.17The stewardship plan must state the methodology used to determine these goals; and
16.18(11) a discussion of the status of end markets for discarded batteries and what, if any,
16.19additional end markets are needed to improve the functioning of the program.
16.20 Subd. 6. Consultation required. Each stewardship organization or individual
16.21producer submitting a stewardship plan must consult with stakeholders including retailers,
16.22collectors, recyclers, local government, and customers during the development of the plan.
16.23 Subd. 7. Agency review and approval. (a) Within 90 days after receipt of a proposed
16.24stewardship plan, the agency shall determine whether the plan complies with subdivision
16.255. If the agency approves a plan, the agency shall notify the applicant of the plan approval
16.26in writing. If the agency rejects a plan, the agency shall notify the applicant in writing of
16.27the reasons for rejecting the plan. An applicant whose plan is rejected by the agency must
16.28submit a revised plan to the agency within 60 days after receiving notice of rejection.
16.29(b) Any proposed changes to a stewardship plan must be approved by the agency
16.30in writing.
16.31 Subd. 8. Plan availability. All draft and approved stewardship plans shall be
16.32placed on the agency's Web site for at least 30 days and made available at the agency's
16.33headquarters for public review and comment.
16.34 Subd. 9. Conduct authorized. A producer or stewardship organization that
16.35organizes collection, transport, and processing of primary batteries under this section
16.36is immune from liability for the conduct under state laws relating to antitrust, restraint
17.1of trade, unfair trade practices, and other regulation of trade or commerce only to the
17.2extent that the conduct is necessary to plan and implement the producer's or organization's
17.3chosen organized collection or recycling system.
17.4 Subd. 10. Responsibility of retailers. (a) On and after December 1, 2014, or three
17.5months after program plan approval, whichever is sooner, no primary battery may be sold
17.6in the state unless the battery's producer is participating in an approved stewardship plan.
17.7(b) Any retailer may participate, on a voluntary basis, as a designated collection
17.8point pursuant to a product stewardship program under this section and in accordance
17.9with applicable law.
17.10(c) No retailer or distributor shall be found to be in violation of this subdivision if,
17.11on the date the primary battery was ordered from the producer or its agent, the producer
17.12was listed as compliant on the agency's Web site according to subdivision 13.
17.13 Subd. 11. Stewardship reports. Beginning March 1, 2016, producers of primary
17.14batteries sold in the state must individually or through a stewardship organization
17.15submit an annual report to the agency describing the product stewardship program. At a
17.16minimum, the report must contain:
17.17(1) a description of the methods used to collect, transport, and process primary
17.18batteries in all regions of the state;
17.19(2) the weight of all primary batteries collected in all regions of the state and a
17.20comparison to the performance goals and recycling rates established in the stewardship
17.21plan;
17.22(3) the amount of discarded primary batteries collected in the state by method of
17.23disposition, including recycling, and other methods of processing;
17.24(4) samples of educational materials provided to consumers and an evaluation of the
17.25effectiveness of the materials and the methods used to disseminate the materials; and
17.26(5) an independent financial audit of the stewardship organization.
17.27 Subd. 12. Data classification. Trade secret information, as defined under section
17.2813.37, submitted to the agency under this section is nonpublic data under section 13.37,
17.29subdivision 2.
17.30 Subd. 13. Sales information. Sales information provided to the commissioner
17.31under this section is classified as private or nonpublic data, as specified in section
17.32115A.06, subdivision 13.
17.33 Subd. 14. Local government responsibilities. (a) A city, county, or other public
17.34agency may choose to participate voluntarily in a product stewardship program.
18.1(b) Cities, counties, and other public agencies are encouraged to work with producers
18.2and stewardship organizations to assist in meeting product stewardship program recycling
18.3obligations, by providing education and outreach or using other strategies.
18.4(c) A city, county, or other public agency that participates in a product stewardship
18.5program must report for the first year of the program to the agency using the reporting
18.6form provided by the agency on the cost savings as a result of participation and describe
18.7how the savings were used.
18.8 Subd. 15. Administrative fee. (a) The stewardship organization or individual
18.9producer submitting a stewardship plan shall pay the agency an annual administrative fee.
18.10The agency shall set the fee at an amount that, when paid by every stewardship organization
18.11or individual producer that submits a stewardship plan, is adequate to cover the agency's
18.12full costs of administering and enforcing this section. The agency may establish a variable
18.13fee based on relevant factors, including, but not limited to, the portion of primary batteries
18.14sold in the state by members of the organization compared to the total amount of primary
18.15batteries sold in the state by all organizations submitting a stewardship plan.
18.16(b) The total amount of annual fees collected under this section must not exceed
18.17the amount necessary to recover costs incurred by the agency in connection with the
18.18administration and enforcement of this section.
18.19(c) The agency shall identify the direct program development or regulatory costs
18.20it incurs under this section before stewardship plans are submitted and shall establish a
18.21fee in an amount adequate to cover those costs, which shall be paid by a stewardship
18.22organization or individual producer that submits a stewardship plan. The commissioner
18.23must make the proposed fee available for public review and comment for at least 30 days.
18.24(d) A stewardship organization or individual producer subject to this section must
18.25pay the agency's administrative fee under paragraph (a) on or before July 1, 2015, and
18.26annually thereafter and the agency's onetime development fee under paragraph (c) on or
18.27before July 1 the year following submission of a stewardship plan.
18.28(e) The agency shall deposit the fees collected under this section into a product
18.29stewardship account.
18.30 Subd. 16. Exemption; medical device. The requirements of this section do not
18.31apply to a medical device as defined in the Food, Drug, and Cosmetic Act, United States
18.32Code, title 21, section 321, paragraph (h).
18.33 Subd. 17. Private enforcement. (a) The operator of a statewide product stewardship
18.34program established under subdivision 2 that incurs costs exceeding $5,000 to collect,
18.35handle, recycle, or properly dispose of discarded primary batteries sold or offered for sale
18.36in Minnesota by a producer who does not implement its own program or participate in a
19.1program implemented by a stewardship organization, may bring a civil action or actions
19.2to recover costs and fees as specified in paragraph (b) from each nonimplementing or
19.3nonparticipating producer who can reasonably be identified from a brand or marking on a
19.4used consumer battery or from other information.
19.5 (b) An action under paragraph (a) may be brought against one or more primary
19.6battery producers, provided that no such action may be commenced:
19.7 (1) prior to 60 days after written notice of the operator's intention to file suit has been
19.8provided to the agency and the defendant or defendants; or
19.9 (2) if the agency has commenced enforcement actions under subdivision 10 and is
19.10diligently pursuing such actions.
19.11 (c) In any action under paragraph (b), the plaintiff operator may recover from
19.12a defendant nonimplementing or nonparticipating primary battery producer costs the
19.13plaintiff incurred to collect, handle, recycle, or properly dispose of primary batteries
19.14reasonably identified as having originated from the defendant, plus the plaintiff's attorney
19.15fees and litigation costs.
19.16 Sec. 4. [115A.1425] REPORT TO LEGISLATURE AND GOVERNOR.
19.17As part of the report required under section 115A.121, the commissioner of the
19.18Pollution Control Agency shall provide a report to the governor and the legislature on the
19.19implementation of sections 115A.141, 115A.1415, and 115A.142.
19.20 Sec. 5. EFFECTIVE DATE.
19.21Sections 1 to 4 are effective July 1, 2013.
