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R-07-03-22-10E3 - 3/22/2007 RESOLUTION NO. R-07-03-22-10E3 WHEREAS, the disposal of used computer equipment and related display devices is an increasing problem for the City of Round Rock; and WHEREAS, the City would like to encourage the Texas Legislature to adopt a comprehensive, convenient, and environmentally sound program for the collection, recycling, and reuse of computer equipment and televisions that have reached the end of their useful life; and WHEREAS, as currently drafted, SB 1324, would create such a program; and WHEREAS,the City Council wishes to support the passage of SB 1324 or similar legislation; Now Therefore BE IT RESOLVED BY THE COUNCIL OF THE CITY OF ROUND ROCK, TEXAS, That the Williamson County legislative delegation be requested to support SB 1324 and that the Mayor, Councilmembers, City Manager, City Attorney, City staff members, and the City' s legislative representatives be authorized to testify on behalf of the City for said SB 1324; and BE IT FURTHER RESOLVED That the Texas Legislature is encouraged to include televisions in SB 1324 or other proposed legislation requiring a recycling program. The City Council hereby finds and declares that written notice of the date, hour, place and subject of the meeting at which this Resolution was adopted was posted and that such meeting was open to the public as required by law at all times during which this Resolution and the subject matter hereof were discussed, considered and formally acted 0:\WdOX\RESOLUTI\R70322E3.WPD/sls upon, all as required by the Open Meetings Act, Chapter 551, Texas Government Code, as amended. RESOLVED this 22nd day of March, 2007 . ')0 NYL WELL, Mayor City of Round Rock, Texas ATTEST: CHRISTINE R. MARTINEZ, City Secret#Y 2 Texas Legislature Online History Bill: SB 1324 Legislative Session: 80(R) Council Document: 80R 4177 SGA-D Last Action: 03/07/2007 S Filed Caption Version: Introduced Caption Text: Relating to a program for the recycling of computer equipment of consumers in this state; providing administrative penalties. Author: Watson Subjects: Environment--Hazardous, Toxic &Nuclear Waste (I0333) Environment--Recycling (I0336) MANUFACTURER RESP&CONSUMER CONVENIENCE COMPUTER EQUIP.... (P0463) COMPUTERS &SOFTWARE (S2425) Companion: HB 2714 by Bonnen, Identical Actions: (descending date order) Description Comment Date- Time Journal Page S Filed 03/07/2007 S Received by the Secretary of the Senate 03/07/2007 80R4177 SGA-D By: Watson S.B. No. 1324 A BILL TO BE ENTITLED AN ACT relating to a program for the recycling of computer equipment of consumers in this state; providing administrative penalties. BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS: SECTION 1. Chapter 361, Health and Safety Code, is amended by adding Subchapter Y to read as follows: SUBCHAPTER Y. COMPUTER EQUIPMENT RECYCLING PROGRAM Sec. 361.951. SHORT TITLE. This subchapter may be cited as the Manufacturer Responsibility and Consumer Convenience Computer Equipment Collection and Recovery Act. Sec. 361.952. DEFINITIONS. In this subchapter: (1) "Brand" means the name, symbol, logo, trademark, or other information that identifies a product rather than the components of the product. (2) "Computer equipment" means a desktop or notebook computer and includes a computer monitor or other display device that does not contain a tuner. (3) "Manufacturer" means a person: (A) who manufactures or manufactured computer equipment under a brand that: (i) the person owns or owned; or Page - 1 - S.B. No. 1324 (ii) the person is or was licensed to use, other than under a license to manufacture computer equipment for delivery exclusively to or at the order of the licensor; (B) who sells or sold computer equipment manufactured by others under a brand that: (i) the person owns or owned; or (ii) the person is or was licensed to use, other than under a license to manufacture computer equipment for delivery exclusively to or at the order of the licensor; (C) who manufactures or manufactured computer equipment without affixing a brand; (D) who manufactures or manufactured computer equipment to which the person affixes or affixed a brand that: (i) the person does not or has not owned; or (ii) the person is not or was not licensed to use; or (E) for whose account computer equipment manufactured outside the United States is or was imported into the United States, if at the time of importation the computer equipment was not included for collection under the recovery plan of another person. (4) "Television" means any telecommunication system device that can broadcast or receive moving pictures and sound over a distance and includes a television tuner or a display device peripheral to a computer that contains a television tuner. Page -2 - S.B. No. 1324 Sec. 361.953. LEGISLATIVE FINDINGS AND PURPOSE. (a) Computers and related display devices are critical elements to the strength and growth of this state's economic prosperity and quality of life. Many of those products can be refurbished and reused, and many contain valuable components that can be recycled. (b) The purpose of this subchapter is to establish a comprehensive, convenient, and environmentally sound program for the collection, recycling, and reuse of computer equipment that has reached the end of its useful life. The program is based on individual manufacturer responsibility and shared responsibility among consumers, retailers, and the government of this state. Sec. 361.954. APPLICABILITY. (a) The collection, recycling, . and reuse provisions of this subchapter apply to computer equipment used and returned to the manufacturer by a consumer in this state. (b) This subchapter does not apply to: (1) a television, any part of a motor vehicle, a personal digital assistant, or a telephone; (2) a consumer's lease of computer equipment or a consumer's use of computer equipment under a lease agreement; or (3) the sale or lease of computer equipment to a business. Sec. 361.955. MANUFACTURER RESPONSIBILITIES. (a) Before a manufacturer may offer computer equipment for sale in this state, the manufacturer must: (1) adopt and implement a recovery plan; and Page -3 - S.B. No. 1324 (2) affix a permanent, readily visible label to the computer equipment with the manufacturer's brand. (b) The recovery plan must include, at no charge to the consumer, provisions for: (1) the manufacturer's collection from a consumer of any computer equipment that has reached the end of its useful life and is labeled with the manufacturer's brand; and (2) recycling or reuse of computer equipment collected under Subdivision (1) . (c) The collection of computer equipment provided under the recovery plan must be: (1) reasonably convenient and available to consumers in this state; and (2) designed to meet the collection needs of consumers in this state. (d) Collection methods that meet the convenience requirements of this section include: (1) a system by which the manufacturer or the manufacturer's designee offers the consumer a system for returning computer equipment by mail; (2) a system using a physical collection site that the manufacturer or the manufacturer's designee keeps open and staffed and to which the consumer may return computer equipment; and (3) a system using a collection event held by the manufacturer or the manufacturer's designee at which the consumer Page -4 - S.B. No. 1324 may return computer equipment. (e) Collection services under this section may use existing collection and consolidation infrastructure for handling computer equipment and may include electronic recyclers and repair shops, recyclers of other commodities, reuse organizations, not-for-profit corporations, retailers, recyclers, and other suitable operations. (f) The recovery plan must include information for the consumer on how and where to return the manufacturer's computer equipment. The manufacturer: (1) shall include collection, recycling, and reuse information on the manufacturer's publicly available Internet site; (2) shall provide collection, recycling, and reuse information to the commission; and (3) may include collection, recycling, and reuse information in the packaging for or in other materials that accompany the manufacturer's computer equipment when the equipment is sold. (g) Information about collection, recycling, and reuse on a manufacturer's publicly available Internet site does not constitute a determination by the commission that the manufacturer's recovery plan or actual practices are in compliance with this subchapter or other law. (h) Each manufacturer shall submit a report to the commission not later than January 31 of each year that includes: (1) the weight of computer equipment collected, Page -5 - S.B. No. 1324 recycled, and reused during the preceding calendar year; and (2) documentation verifying the collection, recycling, and reuse of that computer equipment in a manner that complies with Section 361.964 regarding sound environmental management. (i) If more than one person is a manufacturer of a certain brand of computer equipment as defined by Section 361.952, any of those persons may assume responsibility for and satisfy the obligations of a manufacturer under this subchapter for that brand. If none of those persons assumes responsibility or satisfies the obligations of a manufacturer for the computer equipment of that brand, the commission may consider any of those persons to be the responsible manufacturer for purposes of this subchapter. (j) The obligations under this subchapter of a manufacturer who manufactures or manufactured computer equipment, or sells or sold computer equipment manufactured by others, under a brand that was previously used by a different person in the manufacture of the computer equipment extends to all computer equipment bearing that brand regardless of its date of manufacture. Sec. 361.956. RETAILER RESPONSIBILITY. A person who is a retailer of computer equipment may not sell or offer to sell computer equipment in this state unless the equipment is labeled with the manufacturer's label and the manufacturer is included on the commission's list of manufacturers that have recovery plans. Sec. 361.957. LIABILITY. (a) A manufacturer or retailer of computer equipment is not liable in any way for information in any Page -6 - S.B. No. 1324 form that a consumer leaves on computer equipment that is collected, recycled, or reused under this subchapter. (b) This subchapter does not exempt a person from liability under other law. Sec. 361.958. COMMISSION'S EDUCATION RESPONSIBILITIES. (a) The commission shall educate consumers regarding the collection, recycling, and reuse of computer equipment. (b) The commission shall host or designate another person to host an Internet site providing consumers with information about the recycling and reuse of computer equipment, including information about and links to information on: (1) manufacturers' collection, recycling, and reuse programs, including manufacturers' recovery plans; and (2) computer equipment collection events, collection sites, and community computer equipment recycling and reuse programs. (c) Inclusion on the commission's Internet site under Subsection (b) does not constitute a determination by the commission that the manufacturer's recovery plan or practices are in compliance with this subchapter or other law. Sec. 361.959. ENFORCEMENT. (a) The commission may conduct audits and inspections to determine compliance with this subchapter. (b) The commission and the attorney general, as appropriate, shall enforce this subchapter and take enforcement action against Page -7 - S.B. No. 1324 any manufacturer, retailer, or person who recycles or reuses computer equipment for failure to comply with this subchapter. (c) Notwithstanding Section 7.052, Water Code, a manufacturer that does not label its new computer equipment or adopt and implement a recovery plan as required by Section 361.955(a) may be assessed an administrative penalty, in addition to any other penalty under this subchapter, of not more than $10,000 for the first violation and not more than $25,000 for each subsequent violation. (d) Except as provided by Subsection (c) and notwithstanding Section 7.052, Water Code, a person who violates this subchapter may be assessed an administrative penalty, in addition to any other penalty under this subchapter, of not more than $1,000 for the first violation and not more than $2,000 for each subsequent violation. (e) A penalty assessed under this section shall be paid to the commission. (f) A violation of a prohibition of this subchapter related to sales may be enjoined in an action brought by the attorney . general on behalf of this state under Section 7.032, Water Code. (g) Money collected under this section may be used only for the administration of this subchapter. Sec. 361.960. FINANCIAL AND PROPRIETARY INFORMATION. Financial or proprietary information submitted to the commission under this subchapter is exempt from public disclosure under Page -8 - S.B. No. 1324 Chapter 552, Government Code. Sec. 361.961. ANNUAL REPORT TO LEGISLATURE. The commission shall compile information from producers and issue an electronic report to the committee in each house of the legislature having primary jurisdiction over environmental matters not later than March 1 of each year. Sec. 361.962. FEES NOT AUTHORIZED. This subchapter does not authorize the commission to impose a fee, including a recycling fee or registration fee, on a consumer, manufacturer, retailer, or person who recycles or reuses computer equipment. Sec. 361.963. CONSUMER RESPONSIBILITIES. (a) A consumer is responsible for any information in any form left on the consumer's computer equipment that is collected, recycled, or reused. (b) A consumer is encouraged to learn about recommended methods for recycling and reuse of computer equipment that has reached the end of its useful life by visiting the commission's and manufacturers' Internet sites. Sec. 361.964. SOUND ENVIRONMENTAL MANAGEMENT. (a) All computer equipment collected under this subchapter must be recycled or reused in a manner that complies with federal, state, and local law. (b) The commission shall adopt as standards for recycling or reuse of computer equipment in this state the standards provided by "Electronics Recycling Operating Practices" as approved by the board of directors of the Institute of Scrap Recycling Industries, Page -9 - S.B. No. 1324 Inc., April 25, 2006, or other standards from a comparable nationally recognized organization. Sec. 361.965. STATE PROCUREMENT REQUIREMENTS. (a) In this section, "state agency" has the meaning assigned by Section 2052.101, Government Code. (b) A person who submits a bid for a contract with a state agency for the purchase or lease of computer equipment must be in compliance with this subchapter. (c) A state agency that purchases or leases computer equipment shall require each prospective bidder to certify the bidder's compliance with this subchapter. Failure to provide that certification renders the prospective bidder ineligible to participate in the bidding. (d) In considering bids for a contract for computer equipment, in addition to any other preferences provided under other laws of this state, the state shall give special preference to a manufacturer that has a program to recycle or reuse the computer equipment of other manufacturers, including collection events, recycling grants, and manufacturer initiatives to accept computer equipment labeled with another manufacturer's brand. (e) The Texas Building and Procurement Commission and the Department of Information Resources shall adopt rules to implement this section. Sec. 361.966. FEDERAL PREEMPTION; EXPIRATION. (a) If federal law establishes a national program for the collection and Page -10 - S.B. No. 1324 recycling of computer equipment and the commission determines that the federal law substantially meets the purposes of this subchapter, the commission may adopt an agency statement that interprets the federal law as preemptive of this subchapter. (b) This subchapter expires on the date the commission issues a statement under this section. SECTION 2. (a) The Texas Commission on Environmental Quality shall adopt any rules required to implement this Act not later than May 1, 2008. (b) This Act may not be enforced before September 1, 2008. (c) The reports required under Sections 361.955 and 361.961, Health and Safety Code, as added by this Act, are not required to be prepared or submitted for the first time before the dates specified by those sections in 2010. SECTION 3. This Act takes effect September 1, 2007. Page -11 - DATE: March 15, 2007 SUBJECT: City Council Meeting - March 22, 2007 ITEM: 10.E.3. Consider a resolution supporting SB 1324 which would establish a comprehensive program for the recycling and reuse of computer equipment. Department: Water and Wastewater Utilities/Environmental Services Staff Person: Tom Word, P.E., Chief of Public Works Operations Justification In an effort to support the City's environmental goals, this resolution supports Senate Bill 1324 as introduced in the 80th Regular Legislative Session by Senator Kirk Watson. The bill establishes a comprehensive, convenient and environmentally-sound program for the collection, recycling and reuse of computer equipment that has reached the end of its useful life. This program is based on individual manufacturer responsibility and shared responsibility among consumers, retailers and the government of the State of Texas. Fundina• Cost: N/A Source of funds: N/A Outside Resources: N/A Background Information: As millions of new personal computers are purchased each year worldwide, most of the older equipment as well as other information technology products such as: printers, servers and other peripherals are discarded. Disposal of this electronic equipment is becoming a larger environmental problem every day. Managing used and end of life information technology equipment through responsible reuse and recycling programs conserves scarce natural resources and reduces the impact on the environment. The program, which was introduced under Senate Bill 1324 and the companion House Bill 2714 was introduced by Representative Dennis Bonnen. The program establishes a convenient and viable way for consumers to dispose of computer equipment that has reached the end of its useful life. Public Comment: N/A