1/30/2004 1 SB 20 E-Waste Recovery and Recycling Payments Hypothetical Examples and Discussion Draft February 6, 2004 Meeting.

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Presentation transcript:

1/30/ SB 20 E-Waste Recovery and Recycling Payments Hypothetical Examples and Discussion Draft February 6, 2004 Meeting

1/30/ Recovery Payments to Collectors - Hypothetical Examples: Authorized Recyclers provide 20 cents/lb. recovery payments to Authorized Collectors regardless of the ultimate fate (reuse, export or recycling/cancellation) of the Covered Electronic Wastes (CEWs) 100 Monitors 3500 pounds Authorized RecyclerAuthorized Collector Payment: 20 cents/lb. for recovery costs. $700.00

1/30/ Reimbursement: $0 CEW not Cancelled (CED - not a waste.) Items have a positive value. CIWMB Reimbursements (Recycling+Recovery Payments) to Authorized Recyclers Hypothetical Examples: 100 Monitors 3500 pounds Authorized Recycler Reuse On-site Crush or Dismantle 20 Monitors 700 pounds 60 Monitors 2100 pounds Reimbursement: $0 CEW not Cancelled. Destination and outcome uncertain. Export 20 Monitors 700 pounds Reimbursement: $ cents/lb. for collectors & 28 cents/lb. for recyclers

1/30/ Recovery and Recycling Payments Between Authorized Collectors & Authorized Recyclers While it is hoped that the statewide recovery and recycling payment rates will cover their net costs and result in a free and convenient system for consumers, both collectors and recyclers could still charge for their services if the initial rates do not cover their full net costs. There would be no restrictions on the financial agreements between collectors and recyclers. Authorized Recyclers would pay Authorized Collectors a standard statewide rate of 20 cents per pound on all Covered Electronic Devices/Wastes (CEDs/CEWs) that the Recycler accepts from the Collector. This payment could be paid at the time of CEW exchange or consistent with the contract between the Recycler and Collector. Authorized Recyclers would be paid 48 cents/lb. by the CIWMB for any CEWs that are cancelled through destruction: Shredding, Crushing, or Dismantling to a bare CRT. Recyclers would not be paid for CEDs/CEWs reused or exported. The per pound rates shown represent the mid-range of costs for collectors (15 cents/lb. for collection and 5 cents/lb. for transportation) and recyclers (28 cents for processing). If you have conflicting information, please provide the specific detailed cost information for CIWMB review. Recovery Payment to Collector 20 cents/lb. Recycling Payment to Recycler 28 cents/lb. Prior Collectors Residents Businesses Authorized Collector 20 cents28 cents Authorized Recycler Subsequent Recyclers End Users 48 cents Both Collector & Recycler

1/30/ Payment Scope 1. Who should become an Authorized Recycler?  You must become an Authorized Recycler if you intend to accept Covered Electronic Waste (CEWs) from Authorized Collectors and wish to be reimbursed by the CIWMB for canceling CEWs through dismantling to a bare CRT, crushing or shredding in California. 2. Who should become an Authorized Collector?  You must become an Authorized Collector if you collect/receive CEWs from other individuals or entities (schools, businesses, governments, or other collectors) and transfer ownership of the CEWs to an Authorized Recycler and wish to be reimbursed by the recycler for recovery costs incurred at the statewide per pound rate. 3. Can I be both an Authorized Collector and an Authorized Recycler?  Yes. If you meet the requirements for both.

1/30/ Criteria 4. What are the steps to become an Authorized Recycler?  If you have not done so already, notify DTSC and be placed on their list of handlers  Have your site/facility inspected by DTSC  Notify CIWMB of your intent to become an Authorized Recycler with information demonstrating how you meet the DTSC requirements for recycling in CA  If you are approved, CIWMB will provide you with “Proof of Authorization” 5. What are the steps to become an Authorized Collector?  If you have not done so already, notify DTSC and be placed on their list of handlers  Notify CIWMB of your intent to become an Authorized Collector and describe: The types of collection activities you intend to conduct The types of entities from which you intend to accept CEWs How you will track and keep separate any CEWs generated outside CA  If you are approved, CIWMB will provide you with “Proof of Authorization”

1/30/ Requirements 6. What am I required to do as an Authorized Recycler?  You may still charge for your services related to CEWs  You may continue to accept CEWs only from the sources that you normally have  Either as part of your contracts with Authorized Collectors, or when CEWs are exchanged, you must pay Authorized Collectors the statewide per pound rate on all CEWs accepted regardless of if they will be reused, exported or cancelled  You must pay Authorized Collectors no later than 45 days after the CEWs are exchanged  You must pay Authorized Collectors the recovery payment and you may not adjust your fees upward to offset the recovery payments to collectors  Failure to reimburse collectors as described will result in loss of your authorization status  CEWs that you recycle must be definitively canceled through destruction: dismantling to a bare CRT, crushing or shredding  You will only receive reimbursement from the CIWMB for CEWs that are cancelled, not reused or exported. To be a qualifying material, Covered Electronic Wastes (CEWs) must fall within the DTSC scope, be discarded after being generated in California, be recognizable as an entire Video-Display CEW (not a bare CRT or parts previously separated from a Video-Display CEW), be distinguishable from any co-mingled non-CEW material, and not previously cancelled

1/30/ Reimbursements 7. How will reimbursement work?  You must provide no more than 1 standardized form requesting payment per month to the CIWMB no later than 30 days after the end of the report month  The form will list the amount of cancelled CEWs by weight and by specific cancellation method (dismantling, crushing or shredding).  Attach to the form a list of the authorized collectors serviced during the report month  Attach to the form bills of lading for all cullet and/or bare CRTs shipped, showing weights and destinations for all material for which reimbursement is requested for the report month  You will be reimbursed by the CIWMB at the established statewide per pound rate for the CEWs that you cancelled according to the following formula: Weight of Bare CRTs or Glass Cullet from bills of lading:1800 pounds Minus loads of material from outside California:- 120 pounds Equals Weight of Bare CRTs or Glass Cullet from within California:1680 pounds Times the Standard statewide conversion to device weight x 1.25 Equals an adjusted weight (assumes CRT 80% of device weight)2100 pounds Times the Standard statewide per pound rate x $0.48 Equals the reimbursement for the report month $

1/30/ Reporting & Reimbursements 8. What information will an Authorized Recycler need to provide for Reimbursement? The following shows a portion of the information needed: Monthly Recycler Reimbursement Request Company Name, Address, Mailing Address, Contact Name, Contact Phone CIWMB Account Number, Reporting Period, Date Submitted, For CEWs Cancelled by Destruction/Recycling by Crushing: Weight of Bare CRTs or Glass Cullet from bills of lading:1800 pounds Minus weight of loads of material from outside California:- 120 pounds Equals Weight of Bare CRTs or Glass Cullet from within California:1680 pounds Times the Standard statewide conversion for glass to device weight:x 1.25 Equals an adjusted weight (assumes CRT 80% of device weight)1800 pounds Times the Standard statewide per pound reimbursement ratex $0.48 Equals the reimbursement request for the report month $ Attached bills of lading showing weights shipped & description of destination(s) Attached list showing Authorized Collectors serviced during report month Certification off information under penalty of perjury

1/30/ Requirements 9. What am I required to do as an Authorized Collector?  You may still charge for your services related to CEWs  You may continue to accept CEWs only from the sources that you normally have  You must account separately for CA CEWs and Non-CA CEWs because CEWs from outside California are not eligible for reimbursement from Authorized Recyclers  You must provide a yearly report to the CIWMB summarizing your actual costs per pound and/or per unit for all CEWs  You will be reimbursed by the Authorized Recycler at the established statewide per pound rate for all CEWs  The reimbursement may be made according to a part of your contract with the Authorized Recycler or made when the CEWs are exchanged

1/30/ Reimbursements 10. What am I reimbursed for as an Authorized Collector? Authorized Collectors are not reimbursed directly by the CIWMB Authorized Collectors are entitled to Reimbursements from Authorized Recyclers for all CEWs accepted by the Authorized Recycler at the established statewide per pound rate Example Notice/Posting/Standard Signage: If you are an Authorized Collector, you are entitled to $0.20 per pound for all CEWs accepted by this Authorized Recycler. This reimbursement may be made by the Authorized Recycler when the CEWs are exchanged or on a schedule determined by your contract Alternative Method: The Authorized Recycler and Authorized Collector may agree to reimbursements based on either $0.20 per pound or $7.00 per device. The number of units (two vs. truckload), availability of scales, delivery conditions (uniform truckload vs. mixed e-waste loads), or other factors may influence this contract decision