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[Congressional Bills 109th Congress]
[From the U.S. Government Publishing Office]
[S. 510 Introduced in Senate (IS)]

109th CONGRESS
  1st Session
                                 S. 510

      To reduce and eliminate electronic waste through recycling.

_______________________________________________________________________

                   IN THE SENATE OF THE UNITED STATES

                             March 3, 2005

 Mr. Wyden (for himself and Mr. Talent) introduced the following bill; 
     which was read twice and referred to the Committee on Finance

_______________________________________________________________________

                                 A BILL

 
      To reduce and eliminate electronic waste through recycling.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Electronic Waste Recycling Promotion 
and Consumer Protection Act''.

SEC. 2. FINDINGS.

    Congress finds that--
            (1) the National Safety Council estimates that--
                    (A) in 2003, over 60,000,000 personal computers 
                became obsolete and between 1997 and 2007 more than 
                500,000,000 computers will need to be discarded; and
                    (B) at an average weight of 70 pounds, this will 
                result in over 6,300,000,000 pounds of plastic and 
                1,600,000,000 pounds of lead added to the supply of 
                waste needing to be managed;
            (2) according to the Environmental Protection Agency--
                    (A) a computer monitor or television set generally 
                contains 4 to 8 pounds of lead;
                    (B) mercury, cadmium, and other heavy metals are 
                generally used in such equipment as well; and
                    (C) households and businesses in the United States 
                often do not discard older computers and televisions 
                when buying newer versions of the same products;
            (3) according to experts, the average household may have 
        between 2 and 3 older computers and televisions in storage, and 
        approximately 20,000,000 to 24,000,000 computers and 
        televisions are placed in storage each year;
            (4) according to the Environmental Protection Agency, 
        discarded computer, television, and other electronic 
        equipment--
                    (A) when not discarded in large quantities, is 
                currently managed in most States as municipal solid 
                waste, just like ordinary trash; and
                    (B) constitute 40 percent of the lead and 70 
                percent of the heavy metals that are found in landfills 
                and, if not handled properly, can be released into the 
                environment, contaminating air and groundwater and 
                posing a significant threat to human health, including 
                potential damage to kidney, brain, and nervous system 
                function, and cancer in cases of excessive exposure;
            (5) materials used in computers, televisions, and similar 
        electronic products can be recovered through recycling, which 
        conserves resources and minimizes the potentially harmful human 
        and environmental health effects of those materials; and
            (6) establishing a nationwide infrastructure for electronic 
        waste recycling will--
                    (A) facilitate access of people in the United 
                States to recycling services; and
                    (B) improve the efficiency and use of electronic 
                waste recycling.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Administrator.--The term ``Administrator'' means the 
        Administrator of the Environmental Protection Agency.
            (2) Cathode ray tube.--The term ``cathode ray tube'' means 
        a vacuum tube used to convert an electronic signal into a 
        visual image, for use in a computer monitor, television, or 
        other piece of electronic equipment.
            (3) Computer.--
                    (A) In general.--The term ``computer'' means an 
                electronic, magnetic, optical, electrochemical, or 
                other high speed data processing device that performs 
                logical, arithmetic, or storage functions.
                    (B) Exclusions.--The term ``computer'' does not 
                include an automated typewriter or typesetter, video 
                game console, portable hand held calculator, personal 
                digital assistant, cellular telephone, or other similar 
                device.
            (4) Consumer.--The term ``consumer'' means--
                    (A) an occupant of a single, detached dwelling unit 
                or a single unit of a multiple dwelling unit who--
                            (i) has used a computer monitor, a 
                        television, or another piece of electronic 
                        equipment that contains a display screen or a 
                        system unit; and
                            (ii) used the equipment described in 
                        subparagraph (A) at the dwelling unit of the 
                        occupant; and
                    (B) a commercial, educational, or other entity that 
                discarded for recycling not more than 20 display 
                screens or system units per year during the previous 5 
                years.
            (5) Display screen--
                    (A) In general.--The term ``display screen'' means 
                a cathode ray tube, flat panel screen, or other similar 
                video display device with a screen size of greater than 
                4 inches, measured diagonally.
                    (B) Exclusion.--The term ``display screen'' does 
                not include commercial or industrial equipment, or 
                household appliances, that contain--
                            (i) a cathode ray tube;
                            (ii) a flat panel screen; or
                            (iii) another similar video device.
            (6) Hazardous waste.--The term ``hazardous waste'' has the 
        meaning given the term in section 1004 of the Solid Waste 
        Disposal Act (42 U.S.C. 6903).
            (7) Recycle--The term ``recycle'' means the performance of 
        a process by 1 or more persons by which a display screen or a 
        system unit is--
                    (A) sorted;
                    (B) if necessary, transported;
                    (C) to the maximum extent practicable, separated to 
                recover any component or commodity inside the display 
                screen or system unit that can be reduced to raw 
                materials or products; and
                    (D) treated such that any remaining material is 
                disposed of properly and in an environmentally sound 
                manner consistent with the Solid Waste Disposal Act (42 
                U.S.C. 6901 et seq.).
            (8) System unit.--The term ``system unit'' means--
                    (A) the casing or portion of a computer that 
                contains the central processing unit, which performs 
                the primary quantity of data processing; and
                    (B) the unit that, together with the memory, forms 
                the central part of the computer, to which peripheral 
                devices may be attached.
            (9) Universal waste.--The term ``universal waste'' has the 
        meaning given the term in the Environmental Protection Agency 
        Standards of Universal Waste Management established under 
        section 273 of title 40, Code of Federal Regulations (and 
        successor regulations).

SEC. 4. CREDIT FOR RECYCLING ELECTRONIC WASTE.

    (a) In General.--Subpart B of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by adding at the end 
the following new section:

``SEC. 30B. CREDIT FOR RECYCLING ELECTRONIC WASTE.

    ``(a) Allowance of Credit.--In the case of an eligible taxpayer, 
there shall be allowed as a credit against the tax imposed by this 
chapter for the taxable year an amount equal to $8 per unit of 
qualified electronic waste that is collected from consumers and 
recycled.
    ``(b) Eligible Taxpayer.--For purposes of this section, the term 
`eligible taxpayer' means any person which--
            ``(1) collects from consumers and recycles, or arranges for 
        the recycling of, not less than 5,000 units of qualified 
        electronic waste during that person's taxable year,
            ``(2) submits with the person's tax return documentation of 
        the final destination of all units of electronic waste 
        collected from consumers during the person's taxable year for 
        the purpose of recycling, and
            ``(3) certifies that all reclamation and recycling carried 
        out by the person was performed by an eligible recycler.
    ``(c) Definitions.--For purposes of this section--
            ``(1) Qualified electronic waste.--The term `qualified 
        electronic waste' means any display screen or any system unit.
            ``(2) Consumer, display screen; recycle; system unit.--The 
        terms `consumer', `display screen', `recycle', and `system 
        unit' have the meaning given the terms by section 3 of the 
        Electronic Waste Recycling Promotion and Consumer Protection 
        Act.
    ``(d) Disallowance of Credit.--No credit shall be allowed under 
this section for recycling a unit of qualified electronic waste which 
is collected from a consumer in a State which has adopted and 
implemented a statewide program in accordance with State law which 
mandates or provides incentives for recycling electronic waste, 
including a mandatory per-unit, upfront charge to consumers for the 
purpose of recycling electronic waste.
    ``(e) Final Regulations.--
            ``(1) In general.--Not later than the date which is 180 
        days after the date of the enactment of this section, the 
        Secretary, after consultation with the Administrator of the 
        Environmental Protection Agency, shall issue such final 
        regulations as may be necessary and appropriate to carry out 
        this section.
            ``(2) Inclusion.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                regulations issued under paragraph (1) shall include--
                            ``(i) requirements for certifying recyclers 
                        as eligible to recycle qualified electronic 
                        waste,
                            ``(ii) requirements to ensure that all 
                        recycling of qualified electronic waste is 
                        performed in a manner that is safe and 
                        environmentally sound, and
                            ``(iii) a provision which allows a tax 
                        credit under this section to be shared by 2 or 
                        more eligible taxpayers, provided that the 
                        total tax credit for a unit of electronic waste 
                        under this section does not exceed $8.
                    ``(B) Limitation.--The Secretary shall not certify 
                a recycler as eligible under this subsection unless the 
                recycler is--
                            ``(i) a taxpayer, or
                            ``(ii) a State or local government.
    ``(f) Termination.--This section shall not apply with respect to 
any unit of qualified electronic waste which is recycled after the date 
which is 3 years after the date on which the final regulations issued 
pursuant to subparagraph (e) take effect.''.
    (b) Conforming Amendment.--The table of sections for subpart B of 
part IV of subchapter A of chapter 1 of the Internal Revenue Code of 
1986 is amended by adding at the end the following new item:

        ``Sec. 30B. Credit for recycling electronic waste.''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to display screens and system units recycled after 
the date on which the final regulations issued pursuant to section 30B 
of subpart B of part IV of subchapter A of chapter 1 of the Internal 
Revenue Code of 1986 (as added by this section) take effect.

SEC. 5. CONSUMER CREDIT FOR RECYCLING ELECTRONIC WASTE.

    (a) In General.--Subpart A of part IV of subchapter A of chapter 1 
of the Internal Revenue Code of 1986 is amended by inserting after 
section 25B the following new section:

``SEC. 25C. CONSUMER CREDIT FOR RECYCLING ELECTRONIC WASTE.

    ``(a) Allowance of Credit.--In the case of an eligible consumer, 
there shall be allowed as a credit against the tax imposed by this 
chapter for the taxable year an amount equal to $15 for the recycling 
of 1 or more units of qualified electronic waste.
    ``(b) Eligible Consumer.--For purposes of this section, the term 
`eligible consumer' means any individual--
            ``(1) with respect to whom a credit under this section has 
        not been allowed in any preceding taxable year, and
            ``(2) who submits with the individual's tax return such 
        information as the Secretary requires to document that each 
        unit of qualified electronic waste was recycled by a recycler 
        certified by the Secretary pursuant to subsection (d).
    ``(c) Definitions.--For purposes of this section--
            ``(1) Qualified electronic waste.--The term `qualified 
        electronic waste' means any display screen or any system unit.
            ``(2) Consumer, display screen; recycle; system unit.--The 
        terms `consumer', `display screen', `recycle', and `system 
        unit' have the meaning given the terms by section 3 of the 
        Electronic Waste Recycling Promotion and Consumer Protection 
        Act.
    ``(d) Final Regulations.--
            ``(1) In general.--Not later than the date which is 180 
        days after the date of the enactment of this section, the 
        Secretary, after consultation with the Administrator of the 
        Environmental Protection Agency, shall issue such final 
        regulations as may be necessary and appropriate to carry out 
        this section.
            ``(2) Inclusion.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                regulations issued under paragraph (1) shall include--
                            ``(i) requirements for certifying recyclers 
                        as eligible to recycle qualified electronic 
                        waste, and
                            ``(ii) requirements to ensure that all 
                        recycling of qualified electronic waste is 
                        performed in a manner that is safe and 
                        environmentally sound.
                    ``(B) Limitation.--The Secretary shall not certify 
                a recycler as eligible under this subsection unless the 
                recycler is--
                            ``(i) a taxpayer, or
                            ``(ii) a State or local government.
    ``(e) Termination.--This section shall not apply with respect to 
any unit of qualified electronic waste which is recycled after the date 
which is 3 years after the date on which the final regulations issued 
pursuant to subsection (d) take effect.''.
    (b) Conforming Amendments.--
            (1) Section 26(a)(1) of the Internal Revenue Code of 1986 
        is amended by striking ``and 25B'' and inserting ``25B, and 
        25C''.
            (2) The table of sections for subpart A of part IV of 
        subchapter A of chapter 1 of such Code is amended by inserting 
        after the item relating to section 25B the following new item:

        ``Sec. 25C. Consumer credit for recycling electronic waste.''.
    (c) Effective Date.--The amendments made by this section shall 
apply with respect to display screens and system units recycled after 
the date on which the final regulations issued pursuant to section 30B 
of subpart A of part IV of subchapter A of chapter 1 of the Internal 
Revenue Code of 1986 (as added by this section) take effect.

SEC. 6. PROHIBITIONS OF DISPOSAL WITHOUT RECYCLING.

    (a) Display Screen and System Unit Disposal Ban.--
            (1) In general.--Effective beginning on the date that is 3 
        years after the date of enactment of this Act, if the 
        Administrator determines that a majority of households in the 
        United States have sufficient access to a recycling service for 
        display screens and system units, it shall be unlawful for the 
        operator of a landfill, incinerator, or any other facility for 
        the transfer, disposal, or storage of municipal solid waste to 
        knowingly receive from a consumer a display screen or system 
        unit, except for the purpose of recycling or arranging for the 
        recycling of the display screen or system unit by a recycler 
        certified as an eligible recycler by the Administrator.
            (2) Procedures.--Not later than 180 days after the date of 
        enactment of this Act, the Administrator shall develop and 
        issue guidelines covering waste handlers and waste transfer 
        stations to assist in developing recycling procedures for 
        display screens and system units.
            (3) Exemptions.--As part of the guidelines issued pursuant 
        to paragraph (2), the Administrator shall classify display 
        screens and system units as universal waste and provide for the 
        exemption of display screens and system units from the 
        requirements of the Solid Waste Disposal Act (42 U.S.C. 6901 et 
        seq.) as necessary to facilitate the collection, storage, and 
        transportation of display screens and system units for the 
        purpose of recycling.
    (b) Enforcement.--A violation of subsection (a) by any person or 
entity shall be subject to enforcement under applicable provisions of 
the Solid Waste Disposal Act (42 U.S.C. 6901 et seq.).

SEC. 7. RECYCLING OF DISPLAY SCREENS AND SYSTEM UNITS PROCURED BY THE 
              FEDERAL GOVERNMENT.

    (a) Definition of Executive Agency.--In this section, the term 
``executive agency'' has the meaning given the term in section 11101 of 
title 40, United States Code.
    (b) Requirement for Recycling.--The head of each executive agency 
shall ensure that each display screen and system unit procured by the 
Federal Government--
            (1) is recovered upon the termination of the need of the 
        Federal Government for the display screen or system unit; and
            (2) is recycled by a recycler certified as an eligible 
        recycler by the Administrator through--
                    (A) a program established after the date of 
                enactment of this Act by the executive agency, either 
                alone or in conjunction with 1 or more other executive 
                agencies; or
                    (B) any other program for recycling or reusing 
                display screens and system units.

SEC. 8. NATIONWIDE RECYCLING PROGRAM.

    (a) Study.--
            (1) In general.--The Administrator, in consultation with 
        appropriate executive agencies (as determined by the 
        Administrator), shall conduct a study of the feasibility of 
        establishing a nationwide recycling program for electronic 
        waste that preempts any State recycling program.
            (2) Inclusions.--The study shall include an analysis of 
        multiple programs, including programs involving--
                    (A) the collection of an advanced recycling fee;
                    (B) the collection of an end-of-life fee;
                    (C) producers of electronics assuming the 
                responsibility and the cost of recycling electronic 
                waste; and
                    (D) the extension of a tax credit for recycling 
                electronic waste.
    (b) Report.--Not later than 1 year after the date of enactment of 
this Act, the Administrator shall submit to Congress a report 
describing--
            (1) the results of the study conducted under subsection 
        (a);
            (2) 1 or more prospective nationwide recycling programs, 
        including--
                    (A) a cost-benefit analysis of each program, 
                including--
                            (i) the cost of the program to--
                                    (I) consumers;
                                    (II) manufacturers;
                                    (III) retailers; and
                                    (IV) recyclers; and
                            (ii) the estimated overhead and 
                        administrative expenses of carrying out and 
                        monitoring the program; and
                    (B) the quantity of display screens and system 
                units projected to be recycled under the program;
            (3)(A) the benefits of establishing a nationwide take-back 
        provision that would require, as part of the program, all 
        manufacturers of display screens or system units for sale in 
        the United States to collect and recycle, or arrange for the 
        recycling of, display screens and system units; and
            (B) a projection of the quantity of display screens and 
        system units that would be recycled annually under a nationwide 
        take-back provision;
            (4)(A) any emerging electronic waste streams, such as--
                    (i) cellular telephones; and
                    (ii) personal digital assistants; and
            (B) a cost-benefit analysis of including an emerging 
        electronic waste stream in a national recycling program; and
            (5) the progress of the Administrator in carrying out 
        section 6, including--
                    (A) information on enforcement of the prohibition; 
                and
                    (B) any increase in recycling as a result of the 
                prohibition.
                                 <all>
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