1. 1 Paint Product Stewardship Initiative Update PSI Forum, June, 2008 Shirley Willd-Wagner California Integrated Waste Management Board

2. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.2 Dialogue Purpose Develop a nationally coordinated leftover paint management system Develop a nationally coordinated leftover paint management system Reduce impacts from leftover paint through product stewardship solutions Reduce impacts from leftover paint through product stewardship solutions Reduce leftover paint management costs Reduce leftover paint management costs Negotiate a sustainable financing system Negotiate a sustainable financing system Explore voluntary partnerships Explore voluntary partnerships Find business opportunities/market solutions Find business opportunities/market solutions

3. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.3 Primary Concerns Most leftover paint is disposed. Most leftover paint is disposed. Existing municipal infrastructure; but inadequate in many areas Existing municipal infrastructure; but inadequate in many areas Retailers and manufacturers should play significant roles; govt cannot bear full costs Retailers and manufacturers should play significant roles; govt cannot bear full costs Leary of over-reliance on education Leary of over-reliance on education Need to support agency procurement of recycled paint Need to support agency procurement of recycled paint

4. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.4 Key Dates o Dec. 2003 – Sept 2004; 4 Dialogue Meetings o March 15, 2005 – 1 st MOU Signed o 2005 – 2007 – Pilot projects implemented o March 15, 2007 – end of 1 st MOU o March 21, 2007 – NPCA Board Resolution o Oct. 2007 – 2 nd MOU Final o Nov. 2007 – start of 3-year 2 nd MOU o Winter/spring 2008 – MN legislation introduced

5. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.5 1 st MOU Project Portfolio 1. Source Reduction Survey/Pilot 2. Reuse Manual/Pilot 3. Infrastructure Report 4. Recycled Paint Standard 5. Recycled Paint Marketing 6. Recycled Paint Regulatory Issues 7. Sustainable financing options 8. Lifecycle Assessment and Cost/Benefit Analysis (LCA/CBA)

6. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.6 Phase Two of PPSI March 21, 2007, NPCA’s Board resolution authorizing continuing the PPSI dialogue for pursuing the development of a new nationally-coordinated system for the management of post-consumer waste paint. March 21, 2007, NPCA’s Board resolution authorizing continuing the PPSI dialogue for pursuing the development of a new nationally-coordinated system for the management of post-consumer waste paint. Set stage for 2 nd MOU Set stage for 2 nd MOU Effective November 1, 2007 – Signed by 45 parties Effective November 1, 2007 – Signed by 45 parties

7. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.7 2 nd MOU Elements Eco-Fee collected at retail Eco-Fee collected at retail Industry-run organization Industry-run organization Industry partners with government to share costs and responsibility Industry partners with government to share costs and responsibility Industry creates new collection system where infrastructure does not exist Industry creates new collection system where infrastructure does not exist No mandatory retail take-back No mandatory retail take-back Consumer Education component Consumer Education component

8. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.8 2 nd MOU Elements Manage paint according to hierarchy; reduce, re-use, recycle Manage paint according to hierarchy; reduce, re-use, recycle Special consideration on how paint can be cost-effectively collected rural areas Special consideration on how paint can be cost-effectively collected rural areas Consumers educated on which paints can or cannot be dried and disposed Consumers educated on which paints can or cannot be dried and disposed

9. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.9 2 nd MOU Timeline  Nov 2007 to July 1, 2008 – Design Minnesota Demonstration Project  July 1, 2008 – Implement Minnesota Demonstration Project; financing system in place  Roll out to other states:  July 2009Oregon, Washington, and Vermont  January 2010California  July 2010 Iowa, Florida, North Carolina, Connecticut

10. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.10 2 nd MOU Timeline  October 2008 - March 2009 – Evaluate the Demonstration Project  By January 1, 2010 - addendum to the MOU:  Schedule for extending the nationally-coordinated system to all other states  Performance goals for the nationally-coordinated, leftover paint management system (e.g., reduction, reuse, collection, and recycling)  November 1, 2010 – 2 nd MOU ends

11. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.11 Minnesota Demo Project Detailed Work Plan – April ’08 (see PSI Paint website) Detailed Work Plan – April ’08 (see PSI Paint website) Includes Goals, Obj., Timelines, Evaluation Includes Goals, Obj., Timelines, Evaluation Establishes Paint Stewardship Organization under direction of paint industry Establishes Paint Stewardship Organization under direction of paint industry Comprehensive Evaluation – (lead by US EPA) is built into Program Design Comprehensive Evaluation – (lead by US EPA) is built into Program Design

12. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.12 MN Demo Project Determined legislation was required for level playing field Determined legislation was required for level playing field Legislation introduced – establish consumer based cost recovery system Legislation introduced – establish consumer based cost recovery system Supported by all stakeholders, mfg, retailers, govt Supported by all stakeholders, mfg, retailers, govt Passed both Houses, but vetoed by Gov. Passed both Houses, but vetoed by Gov.

13. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.13 So…Where To Go From Here? Approach in MN – continue to work with the coalition? Approach in MN – continue to work with the coalition? Move forward in other states? Move forward in other states? Develop legislation guidance based on MN’s experience? Develop legislation guidance based on MN’s experience?

14. PSI Forum, Boston, MA. June 4th, 2008PSI Forum, Boston MA.14 NPCA Update Board Meeting June 2 nd Board Meeting June 2 nd News? News?