Section 096-415-2 - Criteria for determining reasonable costs of consolidation operationsA.Consolidator approval process.To be eligible to receive reimbursement from manufacturers for the handling, transportation, and recycling of covered electronic devices generated as waste by covered entities in Maine, a consolidator must be approved by the Department. By October 1 each year, a consolidator may submit information to the Department to demonstrate that it meets the criteria for approval to offer handling, transportation, and recycling services for covered electronic devices from Maine covered entities and to receive reimbursement from manufacturers. The Department shall approve annually a group of up to 10 consolidators. The Department's approval shall be for a period of one year. (1) The Department shall include in the approved group consolidators that: (a) Provide adequate demonstration that they have the ability to operate in conformance with this chapter and Maine's E-waste Law;(b) Submit the lowest cost schedules, with overall consolidator costs for handling, transportation to a recycling and dismantling facility, and recycling not to exceed $0.48 per pound for covered electronic devices; and(c) When considered in aggregate, ensure that geographically convenient consolidation services are provided throughout the state. The Department will make the current list of approved consolidators available through its website, and, upon request, in writing.
(2) An approved consolidator must submit updated information to the Department when there are any changes to the information included in the consolidator's application under section 2(B) of this chapter.(3) The Department may request updated information from any approved consolidator regarding changes in any of the information provided to the Department under section 2(B) of this chapter.(4) The Department may remove a consolidator from the approved list when violations of Maine's environmental laws are adjudicated or otherwise resolved, when violations of the laws of the United States Environmental Protection Agency or of any jurisdiction where electronic waste from Maine is processed are adjudicated or otherwise resolved, or when the Department determines that inaccurate information has been provided by a consolidator to the Department and the consolidator cannot cure the inaccuracy within 30 days of notice or an alternative timeframe approved by the Department. (5) Any approval issued to a consolidator by the Department may contain any conditions the Department deems necessary to ensure compliance with this chapter and 38 M.R.S. §1610.(6) Effective August 1, 2018 - December 31, 2018, approved consolidators shall amend their cost schedules approved for implementation beginning January 1, 2018 as follows: (a) Remove costs related to "Option 1" handling; and(b) Reduce the per pound cost for recycling of video display devices other than televisions by $0.03 per pound, and for recycling of desktop printers by $0.01 per pound.B.Application requirements.To be approved to receive reimbursement from manufacturers for the handling, transportation, and recycling of covered electronic devices from covered entities, the consolidator shall submit to the Department a completed application, using forms developed by the Department, that includes at a minimum the following information: (1) A description of the company's qualifications and experience in managing covered electronic devices and other universal wastes.(2) Evidence of the company's technical ability to comply with the consolidator responsibilities in Maine's E-waste Law, 38 M.R.S. §1610(5)(B).(3) A listing and explanation of any adjudicated civil violations and criminal convictions, and administrative agreements or consent decrees or administrative orders, for violations of any applicable state or federal laws.(4) A copy of the company's standard operating procedures for managing covered electronic devices, including procedures to track covered electronic devices that are identified at receipt as having been generated by a covered entity, and to implement the operational standards in section 3 of this chapter. This must include the identification of the electronic waste dismantling and recycling facilities that may be utilized by the consolidator, as well as information on the commodity materials generated by these facilities.(5) A description of the company's consolidation capacity, including the location and description of consolidation facilities and geographic service area(s) served.(6) A description and disclosure of all of the company's business relationships with electronic waste recycling and dismantling facilities and electronics manufacturers, including ownership interest in any electronic waste recycling and dismantling facilities or related companies, exclusive of any contractual relationships entered into to meet the requirements of this chapter.(7) Evidence of financial capacity sufficient to operate in compliance with this chapter and Maine's E-waste Law.(8) A fee schedule for the next calendar year of allowable costs to be billed to the responsible manufacturers for each geographic service area served by the company. The proposed fees shall be expressed as the price per pound. Costs for transportation must be based on transporting an average load of 16,000 pounds.
(9) Evidence of commercial general liability insurance or equivalent corporate guarantee for accidents and other emergencies with limits of not less than $1,000,000 per occurrence and $2,000,000 aggregate.C.Allowable costs(1) Each consolidator shall bill a manufacturer in accordance with their most recent fee schedule as submitted to and approved by the Department for allowable costs associated with the handling, transportation, and recycling of covered electronic devices generated by covered entities.(2) The only costs that a consolidator may bill to manufacturers are those associated with managing covered electronic devices in conformance with this chapter, unless otherwise contracted by the manufacturer.(3) Allowable handling, transportation and recycling costs are those costs that are directly incurred by the consolidator and that are associated with meeting the requirements of this chapter for covered electronic devices, including but not limited to:(a) Providing transport from geographically convenient collection sites, at a per pound rate assuming an average load of 16,000 pounds;(b) Accounting, by total weight of each covered electronic device type, and collection of other information as required in sections 3(C)(1) and 3(C)(2) of this chapter;(c) Storing, loading, and unloading;(d) Packaging for transport;(e) Transportation and tracking of covered electronic devices to a qualified recycling and dismantling facility;(f) Billing, record-keeping, and reporting as required by section 3 of this chapter;(g) A reasonable rate of profit or return on investment; and(h) Costs billed to the consolidator by a qualified recycling and dismantling facility for recycling.(4) Costs associated with gathering and providing additional information not required by this chapter are not allowable costs. These additional costs must be borne by each manufacturer that requests these services by arrangement between the manufacturer and consolidator.D.Department determination of recycling share responsibilities(1) The Department shall determine recycling shares by covered electronic device type. For a minimum of two years after the effective date of this rule, the Department shall delineate covered electronic device types to be televisions, video game consoles, desktop printers, and all other covered electronic devices. (2) Based on readily available national market share data, the Department shall use the formula R= A/T to calculate the recycling shares for each manufacturer, where: R = recycling share for a given device type,
A = pounds of the device type marketed by a manufacturer, adjusted in accordance with paragraph (3), and
T = total of adjusted pounds (A) of the device type marketed by current manufacturers with more than a de minimis share.
(3) In calculating a manufacturer's recycling share for a covered electronic device type, the Department shall adjust that manufacturer's total pounds of that covered electronic device type marketed nationally by subtracting: 15% of that manufacturer's nationally marketed weight of that covered electronic device type that qualifies for the Electronic Product Environmental Assessment Tool (EPEAT) gold standard; 10% of that manufacturer's nationally marketed weight of that covered electronic device type that qualifies for the EPEAT silver standard; and 5% of that manufacturer's nationally marketed weight of that covered electronic device type that qualifies for the EPEAT bronze standard. To receive this credit, the manufacturer must provide documentation to the Department of its annual sales of EPEAT-certified devices, and any additional data as requested by the Department to verify the self-reported sales data. In calculating a manufacturer's recycling share for a covered electronic device type, the Department shall reduce that manufacturer's total pounds of that covered electronic device type marketed nationally by the total weight of the covered electronic device type collected from covered entities in Maine and recycled through a manufacturer-run takeback program. To receive this credit, the manufacturer shall provide sufficient documentation to the Department to demonstrate: the number of units and pounds of each product type collected and sent for recycling, including a breakout of the amount sent for refurbishment or an estimate of pounds refurbished; the pounds collected are covered electronic devices generated as waste by covered entities; the program is provided at no cost to covered entities; the devices are recycled in accordance with the definition of recycling in this chapter; and electronics recycling is performed in an environmentally responsible manner. Manufacturers may receive credit for pounds refurbished through a manufacturer-run takeback program by a recycler without R2 certification if the manufacturer provides documentation to demonstrate that the recycler meets or exceeds R2 standards and that the manufacturer provides auditing at least equivalent to that provided as part of R2 certification. Sufficient documentation includes, but is not limited to: a description of the manufacturer's collection program, including collection locations and procedures for limiting collection to covered entities; material flow diagrams showing the movement of materials; a description of data collection procedures for tracking recycling and refurbishment, including an explanation of the manner of arriving at any estimates of refurbishment; and evidence that the electronics recyclers meet the standards in Appendix A.
To receive credit, a manufacturer must include the documentation required under this section with its annual registration under 38 M.R.S. §1610(6-A).
(4) If the Department determines that a manufacturer is responsible for a de minimis share of a waste stream based on readily available national market share data adjusted by design incentives and qualifying pounds collected, the Department may identify that manufacturer as not responsible for a recycling share of that waste stream. In no instance shall the Department determine that any manufacturer with greater than 0.1% adjusted market share has a de minimis share for purposes of allocating recycling shares.(5) Annually by December 1, the Department shall provide manufacturers and approved consolidators with a schedule of each manufacturer's recycling share effective for the following calendar year. When a manufacturer with a recycling share exits the market during any calendar year, the Department shall recalculate and distribute new recycling shares for that calendar year to affected manufacturers and approved consolidators. E.Consolidator and manufacturer arrangements.Manufacturers may establish arrangements with approved consolidators to facilitate implementation of this chapter. Those arrangements may include billing arrangements that are consistent with this chapter.06- 096 C.M.R. ch. 415, § 2