HB 1110-1_ Filed 03/14/2006, 10:21
CONFERENCE COMMITTEE REPORT
DIGEST FOR EHB 1110
Citations Affected: IC 4-23-5.5-14; IC 13-11-2; IC 13-14-12-1; IC 13-20-17.7; IC 13-20-22-2.
Synopsis: Environmental law. CONFERENCE COMMITTEE REPORT FOR EHB 1110.
Requires manufacturers of motor vehicles offered for sale in Indiana to develop and implement
a plan to remove, collect, recover, and recycle or dispose of certain mercury switches from end
of life vehicles. Exempts from mercury switch plan development requirements motor vehicle
manufacturers that have never installed mercury switches in their motor vehicles. Requires the
Indiana department of environmental management (IDEM) to allow a public comment period on
a plan of at least 30 days, and to act on the plan within 120 days. Requires motor vehicle recyclers
to remove all mercury switches from end of life vehicles. Provides that motor vehicle recyclers
include automotive salvage recyclers, automobile scrapyards, hulk crushers, scrap metal
processors, and vehicle disposal facilities. Provides that mercury switch removal requirements
take effect 30 days after IDEM approves a plan and expire the earlier of July 1, 2016, or the date
a national mercury switch recovery program takes effect. Provides for a payment out of the solid
waste management fund (SWMF) to a motor vehicle recycler for each mercury switch removed:
(1) in an amount of at least $1 and not more than $5 as determined by the IDEM commissioner;
and (2) to the extent that the commissioner makes money available from the SWMF for that
purpose. Allows money to be redirected to the SWMF for that purpose from the Indiana recycling
promotion and assistance fund and the environmental management special fund (EMSF). Allows
any person to contribute or assign assets to the solid waste management fund to be used by IDEM
to make payments for mercury switches. Requires IDEM to report information on mercury switch
removal to the legislative council and the environmental quality service council. (This conference
committee report: (1) provides that the mercury switch removal program expires on the
earlier of July 1, 2016, or the date a national mercury switch recovery program takes
effect; (2) allows any person to contribute or assign assets to the solid waste management
fund to be used by IDEM to make payments for mercury switches; (3) deletes the provision
to establish the supplemental environmental project credit bank; (4) deletes the provision
that permits the commissioner to direct to the SWMF only money in the EMSF derived
from penalties imposed on steel producers; and (5) specifies that the SWMF is authorized
to receive money that the commissioner directs to that fund from the EMSF.)
Effective: July 1, 2006.
CONFERENCE COMMITTEE REPORT
MADAM PRESIDENT:
Your Conference Committee appointed to confer with a like committee from the House
upon Engrossed Senate Amendments to Engrossed House Bill No. 1110 respectfully reports
that said two committees have conferred and agreed as follows to wit:
that the House recede from its dissent from all Senate amendments and that
the House now concur in all Senate amendments to the bill and that the bill
be further amended as follows:
Delete everything after the enacting clause and insert the following:
SOURCE: IC 4-23-5.5-14; (06)CC111002.1.1. -->
SECTION 1. IC 4-23-5.5-14 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2006]: Sec. 14. (a) The Indiana
recycling promotion and assistance fund is established. The purpose of
the fund is to promote and assist recycling throughout Indiana by
focusing economic development efforts on businesses and projects
involving recycling. The fund shall be administered by the board.
(b) Sources of money for the fund consist of the following:
(1) Appropriations from the general assembly.
(2) Repayment proceeds of loans made from the fund.
(3) Gifts and donations.
(4) Money from the solid waste management fund.
(c) Money remaining in the fund at the end of a state fiscal year does
not revert to the state general fund.
(d) The board may use money in the fund to make loans to assist:
(1) persons in establishing new recycling businesses;
(2) in the expansion of existing recycling businesses; and
(3) manufacturers in retrofitting equipment necessary to reuse or
recycle secondary materials.
(e) The board shall establish loan:
(1) amounts;
(2) terms; and
(3) interest rates.
(f) The board may use money in the fund to make grants for research
and development projects involving recycling. The board shall establish
amounts for grants.
(g) A person, business, or manufacturer that wants a grant or loan
from the fund must file an application with the board.
(h) The board shall establish criteria for awarding grants and loans
under this section.
(i) The board may transfer money in the fund to the state solid
waste management fund established by IC 13-20-22-2 for use by
the department of environmental management to make payments
under IC 13-20-17.7-6.
SOURCE: IC 13-11-2-16.3; (06)CC111002.1.2. -->
SECTION 2. IC 13-11-2-16.3 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 16.3. (a) "Automotive salvage
recycler", for purposes of this chapter, means a business that:
(1) acquires damaged, inoperative, discarded, abandoned, or
salvage motor vehicles, or their remains, as stock-in-trade;
(2) dismantles and processes the vehicles or remains for the
reclamation and sale of reusable components and parts; and
(3) disposes of recyclable materials to a scrap metal processor
or other appropriate facility.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-16.5; (06)CC111002.1.3. -->
SECTION 3. IC 13-11-2-16.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 16.5. (a) "Automobile
scrapyard", for purposes of this chapter, means a business
organized for any of the following purposes:
(1) Processing scrap metal.
(2) Wrecking automobiles.
(3) Operating a junkyard.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-66.9; (06)CC111002.1.4. -->
SECTION 4. IC 13-11-2-66.9 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 66.9. (a) "End of life vehicle", for
purposes of IC 13-20-17.7, means a motor vehicle that is:
(1) sold; or
(2) otherwise conveyed;
to a motor vehicle recycler for the purpose of recycling.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-71; (06)CC111002.1.5. -->
SECTION 5. IC 13-11-2-71, AS AMENDED BY SEA 234-2006,
SECTION 4, IS AMENDED TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2006]: Sec. 71. "Environmental management laws" refers to
the following:
(1) IC 13-12-2 and IC 13-12-3.
(2) IC 13-13.
(3) IC 13-14.
(4) IC 13-15.
(5) IC 13-16.
(6) IC 13-17-3-15, IC 13-17-8-10, IC 13-17-10, and IC 13-17-11.
(7) IC 13-18-12 and IC 13-18-15 through IC 13-18-20.
(8) IC 13-19-1 and IC 13-19-4.
(9) IC 13-20-1, IC 13-20-2, IC 13-20-4 through IC 13-20-15,
IC 13-20-17.7, and IC 13-20-19 through IC 13-20-21.
(10) IC 13-22.
(11) IC 13-23.
(12) IC 13-24.
(13) IC 13-25-1 through IC 13-25-5.
(14) IC 13-27-8.
(15) IC 13-30, except IC 13-30-1.
SOURCE: IC 13-11-2-104.5; (06)CC111002.1.6. -->
SECTION 6. IC 13-11-2-104.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 104.5. (a) "Hulk crusher", for
purposes of this chapter, means an enterprise that engages in the
business of handling and flattening, compacting, or otherwise
demolishing motor vehicles or their remains for economical
delivery to a scrap metal processor or other appropriate facility.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-128.8; (06)CC111002.1.7. -->
SECTION 7. IC 13-11-2-128.8 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 128.8. (a) "Mercury switch", for
purposes of IC 13-20-17.7, means a convenience light switch that:
(1) is located in the hood or trunk lid of a motor vehicle; and
(2) contains mercury.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-130.1; (06)CC111002.1.8. -->
SECTION 8. IC 13-11-2-130.1 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 130.1. (a) "Motor vehicle", for
purposes of this chapter, means a vehicle that is self-propelled on
a highway in Indiana. The term does not include a farm tractor or
a motorized bicycle.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-130.2; (06)CC111002.1.9. -->
SECTION 9. IC 13-11-2-130.2 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 130.2. (a) "Motor vehicle
manufacturer", for purposes of this chapter, means a person that
is engaged in the business of manufacturing or assembling new
motor vehicles for sale to any of the following:
(1) Dealers.
(2) Wholesale dealers.
(3) Distributors.
(4) The general public.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-130.3; (06)CC111002.1.10. -->
SECTION 10. IC 13-11-2-130.3 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 130.3. (a) "Motor vehicle
recycler", for purposes of IC 13-20-17.7, means any of the
following:
(1) An automotive salvage recycler.
(2) An automobile scrapyard.
(3) A hulk crusher.
(4) A scrap metal processor.
(5) A vehicle disposal facility.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-136.5; (06)CC111002.1.11. -->
SECTION 11. IC 13-11-2-136.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 136.5. (a) "National mercury
switch recovery program", for purposes of IC 13-20-17.7, means
a national program:
(1) that accomplishes, as determined by the commissioner, the
goals of IC 13-20-17.7; and
(2) in which the state participates.
(b) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-196.5; (06)CC111002.1.12. -->
SECTION 12. IC 13-11-2-196.5 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 196.5. (a) "Scrap metal
processor", for purposes of this chapter, means a private,
commercial, or governmental enterprise:
(1) that has facilities for processing iron, steel, or nonferrous
scrap; and
(2) whose principal product is scrap iron, scrap steel, or
nonferrous scrap for sale for remelting purposes.
(b) The term does not include a steel mill.
(c) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-11-2-245.2; (06)CC111002.1.13. -->
SECTION 13. IC 13-11-2-245.2 IS ADDED TO THE INDIANA
CODE AS A NEW SECTION TO READ AS FOLLOWS
[EFFECTIVE JULY 1, 2006]: Sec. 245.2. (a) "Vehicle disposal
facility", for purposes of this chapter, means a person, firm, limited
liability company, corporation, or other legal entity that, in the
course of business, engages in the acquisition and dismantling or
demolition of motor vehicles, motorcycles, semitrailers, or
recreational vehicles or their remains for the benefit of reusable
components and parts or recyclable materials.
(b) The term includes the following enterprises:
(1) An automotive salvage recycler.
(2) A hulk crusher.
(c) The term does not include a scrap metal processor.
(d) This section expires on the date IC 13-20-17.7 expires under
IC 13-20-17.7-9.
SOURCE: IC 13-14-12-1; (06)CC111002.1.14. -->
SECTION 14. IC 13-14-12-1 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2006]: Sec. 1. (a) The officials
collecting the following shall remit the money to the treasurer of state:
(1) Money collected under the following:
(A) IC 13-30-4-1.
(B) IC 13-30-4-2.
(C) IC 13-30-5-1.
(2) Fees collected under IC 13-16-1-2 through IC 13-16-1-5.
(b) Except as provided in subsection (c), the treasurer of state shall
credit the money to the environmental management special fund.
(c) With respect to the money collected under subsection
(a)(1)(A) and (a)(1)(B):
(1) the commissioner may direct the treasurer of state to credit
all or a part of the money to the solid waste management fund
established by IC 13-20-22-2; and
(2) the treasurer of state shall:
(A) credit money as directed by the commissioner under
subdivision (1); and
(B) credit to the environmental management special fund
only money that is not credited under subdivision (1).
SOURCE: IC 13-20-17.7; (06)CC111002.1.15. -->
SECTION 15. IC 13-20-17.7 IS ADDED TO THE INDIANA CODE
AS A
NEW CHAPTER TO READ AS FOLLOWS [EFFECTIVE
JULY 1, 2006]:
Chapter 17.7. Mercury Switches in End of Life Vehicles
Sec. 1. (a) Except as provided in subsection (b), motor vehicle
manufacturers engaged on July 1, 2006, in the business of offering
motor vehicles for sale in Indiana shall, individually or collectively:
(1) develop a plan to:
(A) remove;
(B) collect;
(C) recover; and
(D) recycle or dispose of;
mercury switches from end of life vehicles;
(2) submit the plan to the commissioner before October 1,
2006; and
(3) implement the plan as required under section 4(b) of this
chapter.
(b) Subsection (a) does not apply to a motor vehicle
manufacturer that has never installed mercury switches in the
manufacturer's motor vehicles.
Sec. 2. (a) A plan described in section 1 of this chapter must
include the following:
(1) An education program concerning the purposes of the
mercury switch collection program and how to participate in
the program, including the following:
(A) Educational materials about the program.
(B) Information identifying which end of life vehicles might
contain mercury switches by make, model, and year of
manufacture.
(C) Instructions on safe and environmentally sound methods
to remove mercury switches.
(2) The provision of containers for collecting and storing
mercury switches.
(3) Procedures for the transportation of mercury switches to
recycling, storage, or disposal facilities.
(4) Procedures for the recycling, storage, and disposal of
mercury.
(5) Procedures to track the progress of the program, including
a description of performance measures to be used and reported
to demonstrate that the program is meeting measures of the
effectiveness of the program, including the following:
(A) The number of mercury switches collected from end of
life vehicles.
(B) The amount of mercury collected.
(6) Procedures for implementing the plan.
(b) The department shall:
(1) prepare an annual report that includes the information
tracked under subsection (a)(5); and
(2) provide the report to:
(A) the legislative council in an electronic format under
IC 5-14-6; and
(B) the environmental quality service council.
Sec. 3. Motor vehicle manufacturers that submit plans,
individually or collectively, under this chapter shall pay the
following costs incurred for implementing the plans:
(1) Educational materials.
(2) Training.
(3) Packaging for transporting mercury switches to recycling,
storage, or disposal facilities.
(4) Shipping of mercury switches to recycling, storage, or
disposal facilities.
(5) Recycling, storage, or disposal of mercury switches.
(6) Maintenance of all appropriate systems and procedures to
protect the environment from mercury contamination.
Sec. 4. (a) The commissioner shall do the following:
(1) Not more than thirty (30) days after receiving a plan
developed by a motor vehicle manufacturer or a group of
motor vehicle manufacturers under section 1 of this chapter,
issue a public notice of a period of at least thirty (30) days
during which the public may submit written comments on the
plan to the commissioner.
(2) Not more than one hundred twenty (120) days after
receiving a plan, determine whether the entire plan complies
with this chapter and:
(A) if the entire plan complies with this chapter, approve the
plan in its entirety;
(B) if no part of the plan complies with this chapter, reject
the plan in its entirety; or
(C) if only part of the plan complies with this chapter,
approve that part and reject the rest of the plan.
(b) If a plan is approved in its entirety under subsection
(a)(2)(A), the motor vehicle manufacturers shall begin
implementing the plan not more than thirty (30) days after the date
the plan is approved. If an entire plan is rejected under subsection
(a)(2)(B), the commissioner shall inform the motor vehicle
manufacturers why the plan was rejected, and the manufacturers
shall submit a new plan not more than thirty (30) days after the
commissioner informs the manufacturers that the entire plan was
rejected. If a plan is approved in part and rejected in part under
subsection (a)(2)(C), the manufacturers shall immediately
implement the approved part of the plan and submit a revision of
the rejected part of the plan not more than thirty (30) days after
the commissioner informs the manufacturers of the commissioner's
partial approval. The commissioner shall make a determination on
a revised plan not more than thirty (30) days after receiving the
revised plan.
(c) Not more than two hundred forty (240) days after receiving
a plan developed by motor vehicle manufacturers under section 1
of this chapter, the commissioner shall complete, on behalf of the
manufacturer, any part of the plan that has not yet been approved.
(d) After a plan has been approved under this section, the
commissioner shall:
(1) review the plan three (3) years after the original date of
approval of the plan and every three (3) years thereafter; and
(2) work with the motor vehicle manufacturers to agree with
the manufacturers on appropriate modifications to the plan.
(e) Motor vehicle manufacturers are not required to resubmit a
plan modified under subsection (d) to the commissioner for
approval.
Sec. 5. (a) Beginning thirty (30) days after the earliest date the
commissioner approves a plan under section 4 of this chapter, a
motor vehicle recycler is required to remove all mercury switches
from each end of life vehicle the motor vehicle recycler receives
upon receipt of the vehicle.
(b) After a mercury switch is removed from a vehicle, the
mercury switch shall be collected, stored, transported, and
otherwise handled in accordance with the plan approved under
section 4 of this chapter.
(c) Notwithstanding subsection (a), a motor vehicle recycler may
accept an end of life vehicle containing mercury switches that has
not been intentionally flattened, crushed, or baled if the motor
vehicle recycler assumes responsibility for removing the mercury
switches.
(d) A motor vehicle recycler or any other person that removes
mercury switches in accordance with this section shall maintain
records that document the number of:
(1) end of life vehicles the person processed for recycling;
(2) end of life vehicles the person processed that contained
mercury switches; and
(3) mercury switches the person collected.
A person that maintains records under this section shall retain the
records for at least three (3) years.
(e) A person may not represent that mercury switches have been
removed from a motor vehicle being sold or otherwise conveyed
for recycling if the person has not removed the mercury switches
from the vehicle.
(f) A motor vehicle recycler or other person that receives an
intentionally flattened, crushed, or baled end of life vehicle may not
be considered to be in violation of this section if a mercury switch
is found in the vehicle after the person acquires the vehicle.
Sec. 6. (a) Subject to subsections (b), (c), and (d), a person is
entitled to payment from the department for each mercury switch
the person removes from an end of life vehicle under section 5(a)
of this chapter.
(b) The commissioner shall establish:
(1) the amount of the payment under subsection (a), which
must be:
(A) at least one dollar ($1); and
(B) not more than five dollars ($5);
per mercury switch; and
(2) a procedure for claims for payment under this section.
(c) The commissioner shall determine:
(1) whether to use money in the state solid waste management
fund; and
(2) if the commissioner determines under subdivision (1) to use
money in that fund, the amount of money from the fund to be
used;
to make payments under this section.
(d) The department is required to make payments under this
section only to the extent of the amount of money determined by
the commissioner under subsection (c)(2).
Sec. 7. The board may adopt rules under IC 4-22-2 and
IC 13-14-9 to implement this chapter.
Sec. 8. (a) This chapter shall be enforced under IC 13-30-3.
(b) A violation of this chapter or a rule adopted under this
chapter is subject to the penalties set forth in the following:
(1) IC 13-30-4.
(2) IC 13-30-5.
(3) IC 13-30-6.
(4) IC 13-30-8.
Sec. 9. This chapter expires on the earlier of:
(1) the date on which a national mercury switch recovery
program takes effect, as determined by the commissioner; or
(2) July 1, 2016.
SOURCE: IC 13-20-22-2; (06)CC111002.1.16. -->
SECTION 16. IC 13-20-22-2 IS AMENDED TO READ AS
FOLLOWS [EFFECTIVE JULY 1, 2006]: Sec. 2. (a) The state solid
waste management fund is established to provide money for the
following:
(1) Programs that provide grants and loans that provide education
and promote the following:
(A) Recycling and the use of recycled materials.
(B) Waste reduction.
(C) Management of yard waste.
(2) Providing grants to implement household hazardous waste
source reduction or recycling projects.
(3) Providing grants for household hazardous waste and
conditionally exempting small quantity generator waste collection,
recycling, or disposal projects under IC 13-20-20.
(4) Payments by the department under IC 13-20-17.7-6.
(b) The expenses of administering the fund shall be paid from money
in the fund.
(c) The sources of money for the fund are the following:
(1) All fees deposited into the fund under section 12(2) of this
chapter.
(2) Accrued interest and other investment earnings of the fund.
(3) Appropriations made by the general assembly.
(4) Gifts and donations from any person to the fund.
(5) Civil penalties imposed under IC 13-30-4 and fines imposed
under IC 13-30-6 for violations of IC 13-20-17.7.
(6) Subject to subsection (f), assets assigned and other
contributions made by persons.
(7) Transfers from the Indiana recycling promotion and
assistance fund under IC 4-23-5.5-14(i).
(8) Money credited to the fund from the environmental
management special fund under IC 13-14-12-1(c).
(d) The treasurer of state shall invest the money in the fund not
currently needed to meet the obligations of the fund in the same manner
as other public money may be invested.
(e) Money in the fund at the end of a state fiscal year does not revert
to the state general fund.
(f) Money in the fund resulting from assets assigned and other
contributions made under subsection (c)(6) may be used only by
the department of environmental management to make payments
under IC 13-20-17.7-6.(
(Reference is to EHB 1110 as reprinted February 28, 2006.)
Conference Committee Report
on
Engrossed House
Bill 1110
Text Box
S
igned by:
____________________________ ____________________________
Representative Brown T Senator Gard
Chairperson
____________________________ ____________________________
Representative Brown C Senator Tallian
House Conferees Senate Conferees