2. 1 Heidi Sanborn, Project Manager Paint Product Stewardship CRRA Conference July 12, 2005 Los Angeles, CA

3. CRRA Conference Los Angeles, CA 2 What Do These Numbers Mean to Paint Management In California? $9 million $8 23% 50% Annual cost to CA local govt. to manage Estimated average cost/gallon to manage Increase in CA paint collection 2001-2003 Drop in recycled content paint purchase by state agencies between 2001-2004 Wake Up Call! This is not sustainable!!

4. CRRA Conference Los Angeles, CA 3 Presentation Agenda History of PSI and the Paint Dialogue Discussion on Product Stewardship Dialogues as another “tool in the toolbox” to address tough waste streams Paint Dialogue as a model How you can benefit and/or participate

5. CRRA Conference Los Angeles, CA 4 What is Product Stewardship? “ Product Stewardship" is a principle that directs all those involved in the life cycle of a product to take shared responsibility for reducing the health and environmental impacts that result from the production, use, and end-of-life management of the product. Another tool in the toolbox….

6. CRRA Conference Los Angeles, CA 5 What Product Stewardship Isn’t: NOT What We Have Now NOT Producer Responsibility

7. CRRA Conference Los Angeles, CA 6 Product Stewardship Institute Non-Profit Founded in December 2000 Based in Boston, MA Coalition Members Agency leaders pledge to work with PSI on product stewardship issues 31 State members 27 Local agency members

8. CRRA Conference Los Angeles, CA 7 PSI Current Projects Dialogues Paint Mercury Switch Thermostats Pharmaceutical Waste (expected) Projects Pressurized Gas Cylinders Radioactive Devices Electronics

9. CRRA Conference Los Angeles, CA 8 Let’s Look at the Paint Dialogue Process… Research (10/02 – 9/03) – 1 year Technical Research Document Paint Stewardship Action Plan Dialogue (12/03 – 9/04) – 9 months 4 meetings Numerous workgroup conference calls Project Implementation (4/05 – 10/07) – 18 months Designing a nationally coordinated paint management system (10/07-4/08)

10. CRRA Conference Los Angeles, CA 9 PSI Role in Paint Dialogue Facilitate the dialogue Provide technical research and analysis Design and implement pilot projects Clearinghouse for paint product stewardship policies, programs, and data. www.productstewardship.us Glue holding the pieces together….

11. CRRA Conference Los Angeles, CA 10 Setting the Stage Before and Through The Initial Meeting “Venting” calls for government and industry prior to face-to-face meeting Gaining Trust Meeting design Room, location, participant seating Participant contact pre-meeting PSI’s “agenda” Stakeholder roles

12. CRRA Conference Los Angeles, CA 11 Dialogue Group Focused On: Post-consumer leftover paint - latex and oil- based Retail surplus paint Not on post-industrial paint waste

13. CRRA Conference Los Angeles, CA 12 During the Dialogue We Get Agreement on… Problem Statement Goals Key Issues Strategies (potential solutions)

14. CRRA Conference Los Angeles, CA 13 How Do We Develop a Problem Statement and Dialogue Goals? Draft Problem Statement and Goals from the Project Summary developed by PSI Interview willing stakeholders (37) Made changes after each interview Draft Action Plan/comments We don’t control the outcome – the participants do!

15. CRRA Conference Los Angeles, CA 14 What Do You Mean You Don’t Control the Outcome????? If we knew all the answers and there was a predetermined outcome, why waste time in a dialogue?

16. CRRA Conference Los Angeles, CA 15 Why is Paint a Problem? High volume Significant cost to government to manage Can contain low levels of VOCs, fungicides and hazardous metals (in very old paint) Lack of infrastructure for recovery, reuse, recycling Lack of markets for recycled paint Paint is a problem based on the volume, cost to manage, and high potential for increased recovery, reuse and recycling.

17. CRRA Conference Los Angeles, CA 16 The Primary Goal Is To Develop Initiatives That Result In: Reduced paint waste; Efficient collection, reuse, and recycling of leftover paint; Increased markets for recycled paint; and Develop a sustainable financing system to cover end-of-life management costs.

18. CRRA Conference Los Angeles, CA 17 Secondary Goals Are To… Decrease improper disposal of paint Attain the highest value for surplus paint Improve container collection and recycling Reduce paint toxicity

19. CRRA Conference Los Angeles, CA 18 Dialogue Strategy Identified 10 key issues and 37 potential solutions Prioritized and ranked key issues Discussed at meetings EXAMPLE: Key Issue - Leftover Paint Small samples Point of purchase education Computer simulations

20. CRRA Conference Los Angeles, CA 19 The Dialogue Phase… MEETING 2 MEETING 3 MEETING 1 AGREEMENTS START December 2003 April 2004 June 2004 September 2004 Workgroups #1-3 Develop findings Draft work plans Workgroups #8-10 Develop Findings Draft work plans Workgroups #4-7 Develop Findings Draft work plans Discuss Priority Issues and Strategies Groups #1-3: present findings/plans Discuss Issues/Strategies #4-7 Groups #4-7: present findings/plans Discuss Issues/Strategies #8-10 MEETING 4 Review progress Created MOU Dialogue Meeting Workgroup Activity

21. CRRA Conference Los Angeles, CA 20 The Memorandum of Understanding (MOU) Was Fully Executed on 3/15/05

22. CRRA Conference Los Angeles, CA 21 Additionally… The MOU is a first step toward a nationally coordinated leftover paint management system Recognition of the problem with leftover paint National waste reduction and management goals Participant roles and responsibilities Financing system (if needed)

23. CRRA Conference Los Angeles, CA 22 MOU Continued… Project Portfolio – 11 projects $1.2 million Established a steering committee to guide process Timeframe for resuming financing discussion 18 months Continue meeting for 2 years MOU is not legally binding MOU does not waive any rights or obligations

24. CRRA Conference Los Angeles, CA 23 The Purpose of the Projects Demonstrate the potential to reduce the volume of leftover paint and the cost of managing leftover paint; Increase the use of leftover paint as a resource; Increase government and private purchase of products made from leftover paint.

25. CRRA Conference Los Angeles, CA 24 Project Portfolio Formation of Project Workgroups Education - 2 projects (survey and pilot) Infrastructure – 3 projects (reuse, model and $) Markets – 3 projects (PPSI, Distributor, Recycled Paint Certification) Regulatory - White Paper Lifecycle and Cost/Benefit Analysis Finance - National financing options

26. CRRA Conference Los Angeles, CA 25 A: The Steering Committee… Manufacturers – 5 (NPCA 4, Dunn Edwards) Recyclers – 1 (Amazon) Retailers – 1 (vacant) State government – 3 (WA, CA, FL) Local government – 2 ( Portland, OR & Sonoma Co.) Federal government –1 (EPA) Q: Who is Steering the Ship?

27. CRRA Conference Los Angeles, CA 26 Where Are We Now? MOU signed by 31 participants + endorsed by 34 others outside dialogue Seven projects have started Four projects are awaiting full funding Workgroups are convened except for Financing Workgroup which starts late July

28. CRRA Conference Los Angeles, CA 27 What Are The Next Steps ? Raise funds for projects – need $340,500 Recycled Paint Certification Project - HHW Grant Convene Financing Workgroup Start last 4 projects Publicity/media coverage/signing ceremony Accepting Endorsements of MOU – 34 currently Accepting technical assistance, workgroups

29. CRRA Conference Los Angeles, CA 28 We Have Come A Long Way in a Short Time! Increased understanding – all participants Increased manufacturer and retailer involvement New relationships and spin-offs have begun Attitudes have changed – a lot!

30. CRRA Conference Los Angeles, CA 29 Why Are We Successful? Willing and reasonable stakeholders Multi-stakeholder participation Active manufacturer association The potential to have multi-state legislation Refined process Lots of eyes on the process…

31. CRRA Conference Los Angeles, CA 30 To Summarize…… “Product Stewardship” is a tool in the toolbox A Dialogue is both art and science Paint dialogue is a good example of a product stewardship effort in the United States You can support Product Stewardship by becoming a PSI member, endorsing the paint dialogue, and/or participating on a workgroup

32. CRRA Conference Los Angeles, CA 31 Exciting News for California …. New Paint Recycling Facility in Mexico! Hotz has purchased a facility in Mexico Need leftover paint for recycling by October/November 2005 Will include oil base paints in 2006 The details soon to come Contact Pamela McAuley toll free at 1-888-333- 4680 ext 271 or email at pamela@hotzenvironmental.com pamela@hotzenvironmental.com

33. CRRA Conference Los Angeles, CA 32 For More Information Contact… Heidi Sanborn, Project Manager National Paint Product Stewardship Dialogue hksanborn@comcast.net (916) 485-7753 Product Stewardship Institute www.productstewardship.us