HB540 (2008) Detail

Relative to solid waste reduction, establishing a solid waste disposal fee, and renaming the recycling market development steering committee.


HB 540-FN-A – AS INTRODUCED

2007 SESSION

07-0739

08/10

HOUSE BILL 540-FN-A

AN ACT relative to solid waste reduction, establishing a solid waste disposal fee, and renaming the recycling market development steering committee.

SPONSORS: Rep. B. Williams, Graf 8; Rep. Rous, Straf 7; Rep. Hall, Hills 5

COMMITTEE: Environment and Agriculture

ANALYSIS

This bill establishes a program administered by the department of environmental services for funding for solid waste reduction, and authorizes fees to be paid to and expended by the department.

The bill also renames the recycling market development steering committee as the recycling steering commission and revises the duties of the commission.

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Explanation: Matter added to current law appears in bold italics.

Matter removed from current law appears [in brackets and struckthrough.]

Matter which is either (a) all new or (b) repealed and reenacted appears in regular type.

07-0739

08/10

STATE OF NEW HAMPSHIRE

In the Year of Our Lord Two Thousand Seven

AN ACT relative to solid waste reduction, establishing a solid waste disposal fee, and renaming the recycling market development steering committee.

Be it Enacted by the Senate and House of Representatives in General Court convened:

1 Findings. The general court finds and declares that the state did not attain the 40 percent solid waste diversion goal established by the state for the year 2000 under RSA 149-M:2. Additional resources are needed to assist municipalities and businesses in diverting greater amounts of the waste stream from disposal in landfills and incinerators, thereby preserving disposal capacity in New Hampshire. Programs must also be developed to appropriately dispose of household hazardous waste, including the ever-burgeoning quantities of electronic waste.

2 Solid Waste Management; Definition; Source Reduction. Amend RSA 149-M:4, XXIV to read as follows:

XXIV. “Source reduction” means changing industrial processes, technologies, and product components with the specific objective of reducing the amount or toxicity of waste at the source. Source reduction shall also include any actions taken outside of the manufacturing setting that reduce the amount of waste produced.

3 New Subdivision; Funding For Waste and Toxicity Reduction. Amend RSA 149-M by inserting after section 57 the following new subdivision:

Funding For Waste and Toxicity Reduction

149-M:58 Solid Waste Disposal Fee.

I. A solid waste disposal fee of $1 per ton shall be assessed on any solid waste that is landfilled or incinerated at a solid waste facility. The operator of the facility shall be liable for payment of this fee according to paragraph II. If an accurate weight scale is not available at a receiving landfill or incinerator, the disposal fee shall be imposed at a rate of $0.25 per cubic yard, as can most accurately be determined.

II. Fees shall accrue and be remitted to the department by those responsible for payment on a semiannual basis upon forms provided by the department. The respective 6-month accrual periods shall end on June 30 and December 31, with remittances due on the following July 31 and January 31, respectively.

III. If payment required by this section is not furnished, or is incorrect or insufficient, the department shall make a finding as such, and determine the amount due from information available.

IV. Accurate and complete solid waste weight or volume records relating to the disposal fee imposed by this section shall be kept by those responsible for paying the fees to the department and shall be available for inspection or examination at any time by the commissioner, or the commissioner’s duly authorized agents or employees, and shall be preserved for a period of 5 years.

V. The commissioner shall adopt rules, under RSA 541-A, relative to the payment of the fee under this section, including any necessary forms and records.

149-M:59 Exemptions. The following shall not be subject to the disposal fee imposed by RSA 149-M:58:

I. Any material that is delivered to a solid waste facility and is not landfilled or incinerated at that facility.

II. Brush, logs, stumps, leaves, and roots deposited into a stump dump.

III. Roadside wastes delivered to a landfill or incinerator when the facility operator certifies that he or she has accepted those wastes without any disposal charge.

IV. Cover material that is placed over solid waste at a landfill as defined by rules adopted under RSA 149-M:7.

V. Solid waste disposed of at a landfill or incinerator that is owned by a municipality, provided such facility accepts waste generated only within the municipality, with such exemption to be at the option of the qualifying municipality.

(a) For a municipality that opts to be exempt under this paragraph, funds collected under this subdivision shall not be used to provide money or services to the municipality or to residents, businesses, schools or any other entities within the municipality.

(b) This prohibition shall not apply to any entity that has not disposed of its solid waste at the municipal landfill or incinerator within the past 6 months.

(c) This prohibition shall expire if the municipality decides to no longer opt for such exemption and makes at least 2 consecutive, semi-annual payments under RSA 149-M:58, II.

VI. Incinerator ash that is landfilled, provided the ash was generated at an in-state incinerator and such incinerator is not owned by a qualifying municipality that opts to be exempt under paragraph V.

149-M:60 Use of Funds.

I. Fifty percent of the revenues collected from the solid waste disposal fee shall be available to organizations registered with the secretary of state as nonprofit organizations provided the following conditions are met by each organization:

(a) The organization shall maintain its non-profit status;

(b) The organization’s primary mission is to assist municipalities, schools, or businesses in increasing levels of source reduction, recycling, reuse, or composting; and

(c) The organization shall only spend proceeds received under this subdivision to provide:

(1) Technical assistance to municipalities and businesses on source reduction, recycling, reuse, and composting issues;

(2) Recycling and composting equipment grants to municipalities;

(3) Support for school source reduction, recycling, reuse, and composting programs; or

(4) Support for educational programs on source reduction, recycling, reuse, composting, the purchase of products with recycled material content, and pay-as-you-throw programs.

(d) An emphasis shall be given to minimizing administrative costs, while effectively delivering such services or grants.

II. The department shall receive 50 percent of the revenues collected from the solid waste disposal fee, pursuant to appropriations of said sums in the department’s operating budget, for the purpose of:

(a) Training solid waste facility operators in recycling and composting practices;

(b) Maintaining accurate information on recycling and composting rates in the state, including the overall diversion rate;

(c) Providing programs for the efficient receipt, transportation, and disposal of household hazardous waste and electronic wastes; and

(d) Collecting the solid waste disposal fee, administering the fund in RSA 149-M:61, and staffing the recycling steering commission established under RSA 149-O.

(e) Making grants to municipalities from the funds collected pursuant to RSA 149-M:58, I for the purpose of establishing or assisting municipal recycling programs.

149-M:61 Fund Established; Administration and Expenditure.

I. There is hereby established the solid waste reduction fund into which all moneys collected under this subdivision shall be deposited. This nonlapsing, special fund is continually appropriated to the department of environmental services to be expended only as provided by contract issued under paragraph II and as provided under RSA 149-M:60, II. The state treasurer shall invest the moneys deposited in the fund as provided by law. Any return on investments made shall also be credited to the fund.

II. The recycling steering commission, established under RSA 149-O, shall determine the types and amounts of grants and services, as identified under RSA 149-M:60, I(c), that are best able to produce long-term, increased rates of solid waste diversion from landfills and incinerators. Based on such determination, the commission shall from time to time, as needed, issue requests for proposals from eligible nonprofit organizations and shall select the organization or organizations to whom a contract shall be awarded. The department shall contract with such organizations, on behalf of the commission, under such terms as specified by the commission and in conformance with applicable state law. Such contracts shall not exceed 3 years in duration and shall include a payment schedule and reporting requirements sufficient to assure that the contract is being fulfilled.

4 Recycling Steering Commission. Amend RSA 149-O to read as follows:

CHAPTER 149-O

RECYCLING [MARKET DEVELOPMENT] STEERING

[COMMITTEE] COMMISSION

149-O:1 [Committee] Commission Established; Duties. There is established a recycling [market development] steering [committee] commission to promote the establishment and expansion of recycling-related [industries and companies] activities in New Hampshire.

149-O:2 Duties. The [steering committee] commission shall have the following duties:

I. Advocating and securing funding for recycling market development.

II. Facilitating close communication and interaction among the state’s recycling and economic development agencies and other involved organizations.

III. Providing continuity to the state’s recycling market development efforts by reviewing and revising market development priorities, evaluating the impact of market development initiatives, and recommending new directions for market development efforts.

IV. Developing a strategy to increase the amount of solid waste diverted from landfills and incinerators through source reduction, recycling, composting, reuse, the purchase of products with recycled material content, and pay-as-you-throw programs, and to fund such activities in accordance with RSA 149-M:61, II.

149-O:3 Membership.

I. The [steering committee] commission shall consist of the following members[, representing the major segments of the state’s recycling and economic development communities]:

(a) One member of the house of representatives, appointed by the speaker.

(b) One member of the senate, appointed by the senate president.

(c) The director of the office of energy and planning, or designee. [governor’s recycling program.]

(d) [The recycling coordinator in] The commissioner of the department of environmental services, or designee [another appropriate representative of the department, appointed by the commissioner of the department of environmental services].

(e) The commissioner of the department of resources and economic development, or designee.

(f) [The executive director of the Northeast Resource Recovery Association.] A representative of school recycling interests, appointed by the governor.

(g) [The director of the division of plant and property management, department of administrative services.

(h)] A representative of the New Hampshire Business and Industry Association, appointed by the association.

[(i) A representative from the New Hampshire Business Development Corporation, business finance authority, or another statewide economic development organization, appointed by the governor.

(j)] (h) A representative of New Hampshire’s environmental community, appointed by the governor.

[(k) A representative] (i) Three representatives from the New Hampshire Municipal Association, appointed by the association.

[(l) The commissioner of the department of transportation, or designee.]

149-O:4 Meetings and Staffing. The [committee] commission shall meet quarterly and at such other times as the chairperson may call. The commission shall be provided staffing services by the department of environmental services.

149-O:5 Report. The [committee] commission shall prepare an annual report detailing the [committee’s] commission’s actions and progress during the prior fiscal year and any recommendations for legislation. The [committee] commission shall submit the report by [February] October 1 each year to the [chairperson of the house environment and agriculture committee, the chairperson of the senate environment committee] respective house of representatives and senate standing committees having responsibility for the subject matter, the speaker of the house, the senate president, the house clerk, the senate clerk, the state library, and the governor.

149-O:6 Mileage. Members shall serve without compensation except that legislative members shall receive legislative mileage while conducting [committee] commission business.

5 New Subparagraph; Treasury; Application of Receipts Amend RSA 6:12, I(b) by inserting after subparagraph (252) the following new subparagraph:

(253) Moneys deposited in the solid waste reduction fund under RSA 149-M:61.

6 Repeal. RSA 149-M:6, XI, relative to assessing an out-of-state solid waste surcharge, is repealed.

7 Prospective Repeal. The following are repealed.

I. RSA 149-M:58-61, relative to funding for waste and toxicity reduction.

II. RSA 6:12, I(b)(253), relative to the solid waste reduction fund. Any balance remaining in the solid waste reduction fund after all contractual payment obligations are fulfilled shall be deposited in the general fund.

8 Effective Date.

I. Section 7 of this act shall take effect July 1, 2012.

II. The remainder of the act shall take effect July 1, 2007.

LBAO

07-0739

01/25/07

HB 540-FN-A - FISCAL NOTE

AN ACT relative to solid waste reduction, establishing a solid waste disposal fee, and renaming the recycling market development steering committee.

FISCAL IMPACT:

      The Department of Environmental Services has determined this bill will increase state restricted revenue and expenditures by $968,574 in FY 2008, $1,958,438 in FY 2009, $1,979,981 in FY 2010, and $2,001,761 in FY 2011, increase local expenditures by $310,815 in FY 2008, $628,469 in FY 2009, $635,382 in FY 2010, and $642,371 in FY 2011, and increase county and local revenue by an indeterminable amount in FY 2008 and each year thereafter. There will be no fiscal impact on county expenditures.

METHODOLOGY:

    The Department projected revenue received from the solid waste disposal fee based on the tonnage of solid waste disposed of in landfills or incinerators. Annual tonnage is based on calendar year 2004 tonnage as reported by solid waste facilities, and is adjusted using projected percentage increases in population developed by the Office of Energy & Planning. The Department does not make an adjustment from calendar year to fiscal year because the effect should not be significant. FY 2008 revenue is projected at half the total tonnage because one remittance of the fee will occur during FY 2008 on January 31, 2008 for the accrual period between July 1, 2007 and December 31, 2007. The next remittance will be during FY 2009.

            Total Disposal Including Imports Surcharge Revenue at $1.00/ton

    FY 2008 1,937,149 tons $968,574

    FY 2009 1,958,438 tons $1,958,438

    FY 2010 1,979,981 tons $1,979,981

    FY 2011 2,001,761 tons $2,001,761

    The Department anticipates it will expend 50% of revenues collected from the solid waste disposal fee. The Department states it will add two positions in FY 2008, a Waste Management Specialist III and a Program Specialist III, and an additional Waste Management Specialist III and a Waste Management Specialist IV in FY 2009. The first two positions will be responsible for developing rules as required by this bill, developing the waste disposal and recycling data

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                      07-0739

                      01/25/07

    forms and databases, and establishing the criteria for grants and training courses and materials. In FY 2009, the original two positions will maintain the databases and grant programs, and the additional positions will be responsible for training on recycling and composting, providing technical support to facilities, and providing staffing for the Recycling Steering Commission. This bill does not establish any positions or contain appropriations for positions or other expenditures. Department expenditures are summarized as follows:

                      FY 2008 FY 2009 FY 2010 FY 2011

    Waste Management

    Specialist IV, LG 26

    (w/48.3% benefits) $ - $ 61,972 $ 64,777 $ 67,669

    Waste Management

    Specialist III, LG 24

    (w/48.3% benefits) 56,709 59,283 61,972 64,777

    Waste Management

    Specialist III, LG 24

    (w/48.3% benefits) - 56,709 59,283 61,972

    Program Specialist III

    LG 23 (w/48.3% benefits) 54,309 56,709 59,283 61,972

    Positions Subtotal $111,018 $ 234,673 $ 245,315 $ 256,390

    Program Budget (phones,

    computers, rent, publications,

    training materials, etc.) 30,000 60,000 60,000 60,000

    Collection of E-Waste &

    Household Hazardous Waste 343,269 684,546 684,676 684,491

    Grant Funding 484,287 979,219 989,990 1,000,880

    Total State Expenditures $968,574 $1,958,438 $1,979,981 $2,001,761

    The Department assumes no municipality will opt out of the program as allowed by this bill. The City of Nashua and the Towns of Farmington and Unity operate landfills, and the Towns of Ossipee, Litchfield, and Candia operate incinerators that meet the criteria set forth in this bill to opt out. The total amount of solid waste disposed of by these six facilities in 2004 was 84,689 tons. The Department estimates the fiscal impact to municipal expenditures as follows, with FY 2008 expenditures projected at half the total tonnage:

                      LBAO

                      07-0739

                      01/25/07

              Total Disposal Expenditures at $1.00/ton

    FY 2008 621,631 tons $310,815

    FY 2009 628,469 tons $628,469

    FY 2010 635,382 tons $635,382

    FY 2011 642,371 tons $642,371

    At least 50% of the revenues collected by the state will be channeled through non-profit organizations to the municipalities in the form of direct grants, services and training, and equipment. The Department states it is not able to estimate the amount of revenue municipalities will receive through grant funding.

    The Department states there are no county-owned solid waste facilities. Counties could apply for household hazardous waste or electronics waste grants, however, the Department is unable to project increases in county revenues resulting from such grants.

    The Department also states the fee imposed by this bill should increase recycling. Increased recycling will decrease waste disposal, and therefore, decrease state revenue from the solid waste disposal fee, however, increases in residential recycling have been modest.