AN ACT CONCERNING THE COLLECTION AND RECYCLING OF COVERED ELECTRONIC DEVICES.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. (NEW) (Effective October 1, 2007) As used in sections 1 to 15, inclusive, of this act, unless the context indicates another meaning or intent:

(1) "Department" means the Department of Environmental Protection;

(2) "Cathode ray tube" or "CRT" means a vacuum tube or picture tube used to convert an electronic signal into a visual image;

(3) "Computer" means an electronic, magnetic, optical, electrochemical, or other highspeed data processing device performing logical, arithmetic or storage function, and may include, but not be limited to, both a computer central processing unit and a monitor, but does not include an automated typewriter or typesetter, a portable handheld calculator, a portable digital assistant or other similar device;

(4) "Consumer" means an individual who purchases a covered electronic device in a retail sale transaction;

(5) "Covered Electronic Device" or "CED" means desktop or personal computers, computer monitors, portable computers, CRT-based televisions and non-CRT-based televisions sold to consumers, but does not include: (A) Covered electronic device that is a part of a motor vehicle or any component part of a motor vehicle assembled by, or for, a vehicle manufacturer or franchise dealer, including replacement parts for use in a motor vehicle; (B) a covered electronic device that is functionally or physically a part of a larger piece of equipment designed and intended for use in an industrial, commercial or medical setting, including diagnostic, monitoring or control equipment; (C) a covered electronic device that is contained within a clothes washer, clothes dryer, refrigerator, refrigerator and freezer, microwave oven, conventional oven or range, dishwasher, room air conditioner, dehumidifier or air purifier; or (D) telephones of any type unless they contain a video display area greater than four inches measured diagonally;

(6) "Covered electronic recycler" is a recycler that is approved by the department for compensation;

(7) "Manufacturer" means any person who manufactures covered electronic devices under its own brand or without affixing a brand for sale in this state; resells in this state covered electronic devices produced by other suppliers under its own brand or label; imports into the United States or exports from the United States covered electronic devices for sale in this state; manufactures covered electronic devices, supplies them to any person or persons within a distribution network that includes wholesalers or retailers in this state, and benefits from the sale in this state of those covered electronic devices through that distribution network;

(8) "Manufacturer's brands" means a manufacturer's name, brand name or brand label, and all manufacturer's names, brand names and brand labels for which the manufacturer has legal responsibility, including those names, brand names and brand labels of companies that have been acquired by the manufacturer;

(9) "Monitor" means a separate video display component of a computer, whether sold separately or together with a computer central processing unit or computer box, and includes a cathode ray tube, liquid crystal display, gas plasma, digital light processing or other image projection technology greater than four inches when measured diagonally, and its case, interior wires and circuitry, cable to the central processing unit and power cord;

(10) "Obligation" means the quantity of covered electronic devices, by weight, identified for an individual manufacturer, as defined by the department under section 4 of this act;

(11) "Person" means an individual, trust firm, joint stock company, business concern and corporation, including, but not limited to, a government department, partnership, limited liability company or association;

(12) "Portable computer" means a computer and video display greater than four inches in size that can be carried as one unit by an individual, including, but not limited to, a laptop computer;

(13) "Purchase" means the taking, by sale, of title in exchange for consideration;

(14) "Recycling" means any process by which covered electronic devices that would otherwise become solid waste or hazardous waste are collected, separated and processed to be returned to use in the form of raw materials or products, in accordance with environmental standards established by the department;

(15) "Registrant" means a manufacturer of covered electronic devices that is in full compliance with the requirements of sections 1 to 15, inclusive, of this act;

(16) "Retail sales" includes sales of products through sales outlets, via the Internet, mail order or other means, whether or not the seller has a physical presence in this state;

(17) "Retailer" means a person who owns or operates a business that sells new covered electronic devices in this state by any means to a consumer;

(18) "Sell" or "sale" means any transfer for consideration of title, including, but not limited to, transactions conducted through sales outlets, catalogs or the Internet, or any other similar electronic means, and excluding leases;

(19) "State recycling rate" means the ratio of the weight of total overall returns of CEDs in the state to the weight of total overall sales of CEDs in the state during the previous calendar year;

(20) "Television" means a stand-alone display system containing a CRT or any other type of display primarily intended to receive video programming via broadcast, having a viewable area greater than four inches when measured diagonally, able to adhere to standard consumer video formats such as PAL, SECAM, NTSC and HDTV and having the capability of selecting different broadcast channels and support sound capability; and

(21) "Video display" means an output surface having a viewable area greater than four inches when measured diagonally that displays moving graphical images or a visual representation of image sequences or pictures, showing a number of quickly changing images on a screen in fast succession to create the illusion of motion, including, but not limited to, a device that is an integral part of the display that cannot be easily removed from the display by the consumer and that produces the moving image on the screen and includes technology using a cathode ray tube, liquid crystal display, gas plasma, digital light processing or other image projection technology.

Sec. 2. (NEW) (Effective October 1, 2007) (a) On or after October 1, 2007, all manufacturers selling covered electronic devices, as defined in section 1 of this act, in this state shall comply with the requirements of sections 1 to 14, inclusive, of this act or be prohibited from offering a covered electronic device for sale in the state.

(b) The Department of Environmental Protection shall maintain a list of all manufacturers in compliance with the requirements of this act and post the list on said department's web site. Retailers shall consult the list prior to selling covered electronic devices. A retailer shall not offer for sale in this state a covered electronic device of a manufacturer that is not in compliance with this section. A retailer shall be considered to have complied with this responsibility if, on the date that the product was ordered from the manufacturer or its agent, the manufacturer was listed as being in compliance on said department's web site.

Sec. 3. (NEW) (Effective October 1, 2007) On and after October 1, 2007, a manufacturer or retailer shall not sell or offer for sale a covered electronic product in the state unless it is labeled with the manufacturer's brand, and the label is permanently affixed and readily visible.

Sec. 4. (NEW) (Effective October 1, 2007) (a) Each manufacturer of covered electronic devices shall register with the Department of Environmental Protection not later than January 30, 2007, and annually thereafter, on a form prescribed by the Commissioner of Environmental Protection and accompanied by a fee of five thousand dollars. Not less than every two years, the department shall review, at a public hearing, the CED recycling and registration fees. The department shall use the revenues received from registrants for the purposes of carrying out the provisions of section 7 of this act.

(b) On or before January 30, 2007, and annually thereafter, manufacturers of covered electronic devices shall report to the department the total weight of covered electronic devices sold in the state the previous calendar year, except that the department may exempt manufacturers from this requirement and calculate the total weight of covered electronic devices sold in the state by using prorated national sales data based on state population.

(c) On or after January 30, 2009, and annually thereafter, the Department of Environmental Protection shall assess a fee against manufacturers of covered electronic devices sold in the state, except as provided in section 5 of this act. Such fee shall be calculated using the following formula: The state recycling rate multiplied by the weight of sales of the manufacturer's covered electronic devices sold in the state during the previous calendar year, multiplied by not more than fifty cents per pound. On or before February 15, 2008, and annually thereafter, the department shall establish the state recycling rate by calculating the ratio of the weight of total overall returns of covered electronic devices in the state to the weight of total overall sales of covered electronic devices in the state during the previous calendar year.

(d) By March first of each year, the Department of Environmental Protection shall provide each registrant with its responsibility for fees from sales or for collection, recycling and transportation in pounds for that year.

(e) In the event that the department's expenses for administration, education, collection, transportation and recycling activities exceed receipts, the department may borrow up to ten per cent of the projected annual state revenues from fees submitted under sections 1 to 14, inclusive, of this act from outside sources. Borrowed funds shall be repaid within two years.

Sec. 5. (NEW) (Effective October 1, 2007) (a) The department may waive payment of the fee set forth in section 4 of this act for a manufacturer or a group of manufacturers upon approval of a plan for the collection, transportation and recycling of covered electronic devices submitted by such manufacturers that shall state the intention of the registrant to fulfill its obligations through operation of its own program, either individually or in partnership with other manufacturers. Any such plan shall be subject to the following requirements: (1) An individual manufacturer submitting a plan in lieu of payment of the fee set forth in section 4 of this act shall collect, transport and recycle a quantity of covered electronic devices equivalent to the weight of sales of the manufacturer's covered electronic devices in the state during the previous calendar year multiplied by the state recycling rate; (2) a group of manufacturers jointly submitting a plan in lieu of payment of the fee set forth in section 4 of this act shall collect, transport and recycle the sum of the obligations of each participating manufacturer; (3) the plan shall be filed with a manufacturer's annual registration and shall include: (A) The methods that will be used to collect the covered electronic devices, including, but not limited to, the name and locations of all collection and consolidation points; (B) an estimate of the amount of covered electronic devices that will be collected annually; (C) the processes and methods that will be used to recycle recovered covered electronic devices, including a description of the disassembly and physical recovery operation such as crushing, shredding, grinding, glass-to-glass recycling or other operations that will be used; and (D) the name and location of all facilities to be utilized; (4) the plan shall contain documentation of audits of each processor used in the plan and compliance with processing standards established in section 10 of this act; (5) the plan shall contain a description of the accounting and reporting systems that will be employed to track progress toward fulfilling the plan's obligations; (6) the plan shall describe the means that will be utilized to publicize the collection opportunities; and (7) the plan shall state the total weight of CEDs collected, transported and recycled the previous year.

(b) The department may reject the plan in part or in whole and may impose additional requirements as a condition of approval.

Sec. 6. (NEW) (Effective October 1, 2007) (a) If a manufacturer fails to comply with all the conditions and terms of an approved plan, the manufacturer shall be required to submit the following: (1) A payment to the Department of Environmental Protection to cover the cost of collecting, transporting and recycling the unmet portion of its obligation. The payment shall be equal to the following formula: The quantity of the outstanding portion, in pounds, multiplied by not more than fifty cents; and (2) a penalty in the form of a payment equal to the cost of collecting, transporting and recycling ten per cent of the manufacturer's total obligation.

(b) Manufacturers that collect, transport and recycle covered electronic devices in excess of their obligation may sell credits to another registrant or apply that excess to the following year's recycling obligation.

Sec. 7. (NEW) (Effective October 1, 2007) (a) A retailer shall clearly post information provided by the Department of Environmental Protection that describes where and how to recycle the covered electronic device and opportunities and locations for the collection or return of the device, through the use of a toll-free telephone number and web site, information included in the packaging, or information provided accompanying the sale of the covered electronic device. This information shall be provided in a clear written form in English and any other languages deemed to be primary languages by the Department of Education.

(b) No fees or costs may be charged to consumers for the collection, transportation or recycling of covered electronic products.

Sec. 8. (NEW) (Effective October 1, 2007) (a) The Department of Environmental Protection shall organize, administer and ensure that at least one electronics collection opportunity is available not less than five days a week in each county throughout the state and in such a manner as to be convenient, to the extent feasible, to all consumers in the county.

(b) Collection sites shall not place limits on the number of covered electronic devices permitted for drop-off by consumers.

(c) The department shall encourage the use of existing infrastructures for handling CEDs to the extent that this infrastructure is accessible on a regular and ongoing basis to at least eighty-five per cent of the population of the state, is cost effective and meets the environmentally sound management requirements of section 11 of this act.

(d) The department shall organize and coordinate public education and outreach.

Sec. 9. (NEW) (Effective October 1, 2007) (a) The Department of Environmental Protection shall prepare an electronics recycling plan every three years that establishes per-capita collection and recycling goals and identifies any necessary state actions to expand collection opportunities to achieve such goals. Such report shall be posted on the department's web site and a copy of such report submitted, in accordance with the provisions of section 11-4a of the general statutes, to the joint standing committee of the General Assembly having cognizance of matters relating to the environment.

(b) The department shall prepare an annual report regarding the status of the electronics recycling program, which shall be submitted to the joint standing committee of the General Assembly having cognizance of matters relating to the environment, in accordance with the provisions of section 11-4a of the general statutes. Such report shall contain: (1) A list of all parties that the department has designated as approved to receive payments for collection, transportation or recycling, the amount of payments it has made to those parties and the purpose of those payments; (2) the total weight of CEDs collected in the state the previous calendar year; (3) the total weight of CEDs sold in the state the previous calendar year; (4) a complete listing of all collection sites operating in the state in the prior calendar year, the parties that operated them and the amount of material by weight collected at each site; (5) an evaluation of the effectiveness of the education and outreach program; and (6) an evaluation of the existing collection and processing infrastructure. The department shall annually post the report on its Internet web site.

(c) The program implemented to effect the provisions of sections 1 to 15, inclusive, of this act and its associated regulations shall be fully audited by an independent, certified public accountant at the end of each calendar year and said audit report submitted to the General Assembly.

Sec. 10. (NEW) (Effective October 1, 2007) (a) The Department of Environmental Protection shall engage in competitive bidding for the collection, transportation and recycling of covered electronic devices.

(b) The department shall make payments for the collection, transportation and recycling of covered electronic devices to an authorized or approved entity upon receipt of a completed and verified invoice submitted to the department in a form prescribed by the department. Such application for payment shall contain evidence of the following: (1) That the covered electronic device was collected from a consumer who is a resident of the state or is otherwise located in the state or who provides evidence that the device was purchased in the state after October 1, 2007; (2) that the collection, transportation and recycling of the CED was conducted in accordance with all local, state and federal laws, including the requirements of sections 1 to 15, inclusive, of this act, and any regulations adopted pursuant to section 14 of this act; and (3) no fees or costs were charged to the consumer.

(c) The department shall not be held financially liable or responsible for any violation of federal, state or local law by any entity to whom the department makes payment pursuant to this section.

Sec. 11. (NEW) (Effective October 1, 2007) (a) Covered electronic devices collected through any program in Connecticut, whether by manufacturers, retailers, for-profit or not-for-profit corporations, units of government or organized by the department, shall be recycled in a manner that is in compliance with all applicable federal, state and local laws, regulations and ordinances, and shall not be exported for disposal in a manner that poses a significant risk to the public health or the environment.

(b) The department shall establish performance requirements in order for collectors, transporters and recyclers to be eligible to receive funds from the department. All entities shall, at a minimum, demonstrate compliance with the United States Environmental Protection Agency's Plug-In to eCycling Guidelines for Materials Management as issued and available on said agency's Internet web site in addition to any other requirements mandated by state or federal law.

Sec. 12. (NEW) (Effective October 1, 2007) On or after October 1, 2009, no person shall place a covered electronic device or any of the components or subassemblies thereof in any solid waste disposal facility.

Sec. 13. (NEW) (Effective October 1, 2007) The Commissioner of Environmental Protection shall have authority to issue cease and desist orders according to section 22a-7 of the general statutes for any violation of sections 1 to 15, inclusive, of this act, and to suspend or revoke any registration issued by the commissioner under section __ of this act upon a showing of cause and after a hearing. The courts may grant such restraining orders and such temporary and permanent injunctive relief as may be necessary to secure compliance with sections 1 to 15, inclusive, of this act. Civil proceedings to enforce sections 1 to 15, inclusive, of this act may be brought by the Attorney General in the superior court for any judicial district affected by the violation. Any funds awarded by the court shall be used first to offset enforcement expenses. Any funds awarded in excess of the enforcement expenses shall be deposited with the Department of Environmental Protection.

Sec. 14. (NEW) (Effective October 1, 2007) The Commissioner of Environmental Protection shall adopt regulations, in accordance with the provisions of chapter 54 of the general statutes, to carry out the provisions of sections 1 to 15, inclusive, of this act.

Sec. 15. (NEW) (Effective October 1, 2007) The department may participate in the establishment and implementation of a regional, multistate organization or compact to assist in carrying out the requirements of sections 1 to 15, inclusive, of this act.

Statement of Purpose:

To establish an electronic device collection and recycling program based upon The Northeast Recycling Council Model Electronic Recycling Legislation, revised July 2006.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]