Mattress recycling program establishment

1.1 A bill for an act​ 1.2 relating to environment; establishing mattress recycling program; proposing coding​ 1.3 for new law in Minnesota Statutes, chapter 115A.​ 1.4 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:​ 1.5 Section 1. [115A.143] MATTRESS RECYCLING.​ 1.6 Subdivision 1. Definitions. (a) For purposes of this section, the terms in this subdivision​ 1.7 have the meanings given.​ 1.8 (b) "Brand" means a name, symbol, word, or mark that attributes a mattress to the​ 1.9 producer of the mattress.​ 1.10 (c) "Covered entity" means a political subdivision of the state, mattress retailer, permitted​ 1.11 transfer station, waste-to-energy facility, health care facility, educational facility, military​ 1.12 base, or commercial or nonprofit lodging establishment that possesses a discarded mattress​ 1.13 that was used and discarded in this state. Covered entity does not include a renovator,​ 1.14 refurbisher, or person that only transports a discarded mattress.​ 1.15 (d) "Discarded mattress" means a mattress that a consumer discarded, intends to discard,​ 1.16 or abandoned in the state, but does not include a mattress that cannot be safely recycled​ 1.17 because it is contaminated by putrescible solid waste or is substantially soiled, is infested​ 1.18 with bedbugs, or poses a risk to worker health or equipment, which mattress should be​ 1.19 disposed of through the existing solid waste system.​ 1.20 (e) "Energy recovery" means the process by which all or a portion of solid waste materials​ 1.21 are processed or combusted to use the heat content or other forms of energy derived from​ 1.22 the solid waste materials.​ 1​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​ SENATE​ STATE OF MINNESOTA​ S.F. No. 1767​NINETY-SECOND SESSION​ (SENATE AUTHORS: HOWE)​ OFFICIAL STATUS​D-PG​DATE​ Introduction and first reading​03/04/2021​ Referred to Environment and Natural Resources Policy and Legacy Finance​ 2.1 (f) "Foundation" means any ticking-covered structure that is used to support a mattress​ 2.2 and that is composed of one or more of the following: a constructed frame, foam, or a box​ 2.3 spring, whether stationary, adjustable, or foldable. Foundation does not include any bed​ 2.4 frame or base made of wood, metal, or other material that rests upon the floor and that serves​ 2.5 as a brace for a mattress.​ 2.6 (g) "Mattress" means any resilient material or combination of materials that is enclosed​ 2.7 by ticking, used alone or in combination with other products, and that is intended or promoted​ 2.8 for sleeping upon. Mattress includes any foundation and any used or renovated mattress.​ 2.9 Mattress does not include any mattress pad; mattress topper; sleeping bag; pillow; car bed;​ 2.10 carriage; basket; dressing table; stroller; playpen; infant carrier; lounge pad; crib or bassinet​ 2.11 mattress; crib bumper; liquid or gaseous filled ticking, including any water bed and any air​ 2.12 mattress that does not contain upholstery material between the ticking and the mattress core;​ 2.13 or upholstered furniture, including a sleeper sofa.​ 2.14 (h) "Mattress core" means the principal support system that is present in a mattress,​ 2.15 including but not limited to springs, foam, air bladder, water bladder, or resilient filling.​ 2.16 (i) "Mattress recycling council" or "council" means the nonprofit organization created​ 2.17 by producers or created by any trade association that represents producers who account for​ 2.18 a majority of mattress production in the United States to design, submit, and implement the​ 2.19 mattress stewardship program described in subdivision 2.​ 2.20 (j) "Mattress stewardship fee" means the amount added to the purchase price of a mattress​ 2.21 sold to a consumer or to an ultimate end user in this state that is necessary to cover the cost​ 2.22 of collecting, transporting, and processing discarded mattresses by the council according​ 2.23 to the mattress stewardship program.​ 2.24 (k) "Mattress stewardship program" or "program" means the statewide program described​ 2.25 in subdivision 2 and implemented according to the mattress stewardship plan developed​ 2.26 under subdivision 2.​ 2.27 (l) "Mattress topper" means an item that contains resilient filling, with or without ticking,​ 2.28 that is intended to be used with or on top of a mattress.​ 2.29 (m) "Performance goal" means a metric proposed by the council to annually measure​ 2.30 the performance of the mattress stewardship program, taking into consideration technical​ 2.31 and economic feasibilities, in achieving continuous, meaningful improvement in the rate​ 2.32 of mattress recycling in the state and any other specified goal of the program.​ 2​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​ 3.1 (n) "Producer" means a person who manufactures or renovates a mattress that is sold,​ 3.2 offered for sale, or distributed in the state under the producer's own name or brand. Producer​ 3.3 includes:​ 3.4 (1) the owner of a trademark or brand under which a mattress is sold, offered for sale,​ 3.5 or distributed in this state, whether or not the trademark or brand is registered in this state;​ 3.6 and​ 3.7 (2) a person who imports a mattress into the United States that is sold or offered for sale​ 3.8 in this state and that is manufactured or renovated by a person who does not have a presence​ 3.9 in the United States.​ 3.10 (o) "Recycling" means a process in which discarded mattresses, components, and​ 3.11 by-products may lose their original identity or form as they are transformed into new, usable,​ 3.12 or marketable materials. Recycling does not include using destructive incineration.​ 3.13 (p) "Renovate" or "renovation" means altering a mattress for resale, including any one​ 3.14 or a combination of the following: replacing the ticking or filling, adding additional filling,​ 3.15 or replacing components with new or recycled materials. Renovate or renovation does not​ 3.16 include:​ 3.17 (1) stripping a mattress of its ticking or filling without adding new material;​ 3.18 (2) sanitizing or sterilizing a mattress without otherwise altering the mattress; or​ 3.19 (3) a renovator altering a mattress for a person who retains the altered mattress for​ 3.20 personal use, in accordance with chapter 325F.​ 3.21 (q) "Renovator" means a person who renovates discarded mattresses to resell the​ 3.22 mattresses to consumers.​ 3.23 (r) "Retailer" means a person who sells mattresses to a consumer or to an ultimate end​ 3.24 user in this state or offers mattresses to a consumer in this state.​ 3.25 (s) "Sale" means transfer of title of a mattress for consideration to a consumer or an​ 3.26 ultimate end user in the state, including but not limited to by means of a sales outlet, catalog,​ 3.27 website, or similar electronic means.​ 3.28 (t) "Sanitizing" means directly applying chemicals to a mattress to kill human​ 3.29 disease-causing pathogens.​ 3.30 (u) "Sterilizing" means mitigating deleterious substances or organisms, including human​ 3.31 disease-causing pathogens, fungi, and insects, from a mattress or filling material using a​ 3.32 chemical or heat process.​ 3​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​ 4.1 (v) "Ticking" means the outermost layer of fabric or material of a mattress. Ticking does​ 4.2 not include any layer of fabric or material quilted together with, or otherwise attached to,​ 4.3 the outermost layer of fabric or material of a mattress.​ 4.4 (w) "Upholstery material" means all material, loose or attached, between the ticking and​ 4.5 the core of a mattress.​ 4.6 Subd. 2. Mattress recycling council; required plan. (a) Within 180 days after the​ 4.7 effective date of this section, each producer or the producer's designee must join the mattress​ 4.8 recycling council. Within 180 days after the effective date of this section, the council must​ 4.9 submit a plan for approval by the commissioner to establish a statewide mattress stewardship​ 4.10 program, as described in this paragraph. Retailers may participate in the council. The mattress​ 4.11 stewardship program must, to the extent technologically feasible and economically practical:​ 4.12 (1) provide for free, convenient, and accessible statewide opportunities for receiving​ 4.13 discarded mattresses from any person in the state with a discarded mattress that was used​ 4.14 and discarded in the state, including but not limited to participating covered entities that​ 4.15 accumulate and segregate a minimum of 100 discarded mattresses for collection at one time;​ 4.16 (2) provide for free collection of discarded mattresses from transfer stations that​ 4.17 accumulate and segregate fewer than 50 mattresses, provided the transfer stations require​ 4.18 the collection due to space or permit requirements;​ 4.19 (3) provide for council-financed end-of-life management for discarded mattresses​ 4.20 collected according to clauses (1) and (2);​ 4.21 (4) provide suitable storage containers at or make other mutually agreeable storage and​ 4.22 transport arrangements for permitted transfer stations for segregated, discarded mattresses,​ 4.23 at no cost to the municipality, provided the transfer station makes space available for the​ 4.24 purpose and imposes no fee for placement of the storage container on the transfer station's​ 4.25 premises;​ 4.26 (5) provide that the council will conduct research as needed related to improving used​ 4.27 mattress collection, dismantling, and recycling operations, including pilot programs to test​ 4.28 new processes, methods, or equipment on a local, regional, or otherwise limited basis; and​ 4.29 (6) include a mattress stewardship fee that is sufficient to cover the costs of operating​ 4.30 and administering the program.​ 4.31 (b) The plan submitted according to paragraph (a) must:​ 4.32 (1) identify each producer participating in the program;​ 4​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​ 5.1 (2) describe the fee structure for the program;​ 5.2 (3) establish performance goals for the first two years of the program;​ 5.3 (4) identify proposed facilities to be used by the program;​ 5.4 (5) set convenience goals and a timeline for implementing and achieving convenient​ 5.5 access to the program;​ 5.6 (6) detail how the program will promote recycling discarded mattresses consistent with​ 5.7 the state's solid waste management hierarchy; and​ 5.8 (7) include a description of public education regarding the program.​ 5.9 (c) The council must set the amount of the mattress stewardship fee that is added to the​ 5.10 purchase price of a mattress at the point of sale. The council must establish and implement​ 5.11 a fee structure that covers but does not exceed the costs of developing the plan described​ 5.12 in paragraph (b), operating and administering the program described in paragraph (a), and​ 5.13 maintaining a financial reserve sufficient to operate the program over multiple years in a​ 5.14 fiscally prudent and responsible manner. The council must set the fee as a flat rate and not​ 5.15 as a percentage of the purchase price. The council must maintain all records relating to the​ 5.16 program for not less than three years.​ 5.17 (d) Under the program, recycling is preferred over any other disposal method for​ 5.18 mattresses, to the extent that recycling is technologically feasible and economically practical.​ 5.19 (e) The commissioner must approve the plan for establishing the mattress stewardship​ 5.20 program if the plan meets the requirements of paragraphs (a) to (d). No later than 90 days​ 5.21 after the council submits the plan according to this section, the commissioner must make a​ 5.22 determination whether to approve the plan. Before making the determination, the​ 5.23 commissioner must post the plan on the agency's website and solicit public comments on​ 5.24 the plan. If the commissioner disapproves the plan because the plan does not meet the​ 5.25 requirements of paragraphs (a) to (d), the commissioner must describe the reasons for the​ 5.26 disapproval in a notice of determination that the commissioner provides to the council. The​ 5.27 council must revise and resubmit the plan to the commissioner no later than 45 days after​ 5.28 receiving notice of the commissioner's disapproval. No later than 45 days after receiving​ 5.29 the revised plan, the commissioner must review and approve or disapprove the revised plan​ 5.30 and provide a notice of determination to the council. The council may resubmit a revised​ 5.31 plan to the commissioner for approval no more than twice. If the council fails to submit a​ 5.32 plan that is acceptable to the commissioner because it does not meet the requirements of​ 5.33 paragraphs (a) to (d), the commissioner must modify a submitted plan to make it conform​ 5​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​ 6.1 to the requirements of paragraphs (a) to (d) and approve it. No later than 180 days after​ 6.2 approval of a plan according to this paragraph, the council must implement the mattress​ 6.3 stewardship program. Regardless of when the program begins, the program's fiscal year​ 6.4 begins January 1.​ 6.5 (f) The council must submit any proposed substantial change to the program to the​ 6.6 commissioner for approval. If the commissioner does not disapprove a proposed substantial​ 6.7 change within 90 days of receiving notice of the proposed substantial change, the proposed​ 6.8 substantial change is deemed approved. For purposes of this paragraph, "substantial change"​ 6.9 means:​ 6.10 (1) a change in the processing facilities to be used for discarded mattresses collected​ 6.11 under the program; or​ 6.12 (2) a material change to the system for collecting mattresses.​ 6.13 (g) Within 90 days after the end of the program's second fiscal year, the council must​ 6.14 submit updated performance goals to the commissioner that are based on the experience of​ 6.15 the program during the first two years of the program.​ 6.16 (h) The council must notify the commissioner of other material changes to the program​ 6.17 on an ongoing basis, without resubmitting the plan to the commissioner for approval. Material​ 6.18 changes include but are not limited to a change in the composition, officers, or contact​ 6.19 information of the council.​ 6.20 (i) Within 90 days after the end of the program's second fiscal year and every two years​ 6.21 thereafter, the council must propose a mattress stewardship fee for all mattresses sold in​ 6.22 this state. The council may propose a change to the mattress stewardship fee more frequently​ 6.23 than once every two years if the council determines the change is needed to avoid funding​ 6.24 shortfalls or excesses for the mattress stewardship program. Any proposed mattress​ 6.25 stewardship fee must be reviewed by an auditor to ensure that the assessment does not​ 6.26 exceed the cost to fund the mattress stewardship program described in paragraph (a) and to​ 6.27 maintain financial reserves sufficient to operate the program over multiple years in a fiscally​ 6.28 prudent and responsible manner. Not later than 60 days after the council proposes a mattress​ 6.29 stewardship fee, the auditor must render an opinion to the commissioner as to whether the​ 6.30 proposed mattress stewardship fee is reasonable to achieve the goals set forth in this section.​ 6.31 If the auditor concludes that the mattress stewardship fee is reasonable, then the proposed​ 6.32 fee goes into effect. If the auditor concludes that the mattress stewardship fee is not​ 6.33 reasonable, the auditor must provide the council with written notice explaining the auditor's​ 6.34 opinion. No later than 60 days after the council receives the auditor's opinion, the council​ 6​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​ 7.1 may either propose a new mattress stewardship fee or provide written comments on the​ 7.2 auditor's opinion. If the auditor concludes that the fee is not reasonable, the commissioner​ 7.3 must decide, based on the auditor's opinion and any comments provided by the council,​ 7.4 whether to approve the proposed mattress stewardship fee. The council must select the​ 7.5 auditor. The cost of any work performed by the auditor under this paragraph and paragraph​ 7.6 (k) must be paid by the mattress stewardship fee.​ 7.7 (j) Not later than October 15 each year, the council must submit an annual report to the​ 7.8 commissioner for the most recently completed fiscal year. The commissioner must post the​ 7.9 annual report on the agency's website. The report must include:​ 7.10 (1) the tonnage of mattresses collected under the program from:​ 7.11 (i) transfer stations;​ 7.12 (ii) retailers; and​ 7.13 (iii) all other covered entities;​ 7.14 (2) the tonnage of mattresses diverted for recycling;​ 7.15 (3) the weight of mattress materials recycled, as indicated by the weight of each of the​ 7.16 commodities sold to secondary markets;​ 7.17 (4) the weight of mattress materials sent for disposal at:​ 7.18 (i) waste-to-energy facilities;​ 7.19 (ii) landfills; and​ 7.20 (iii) any other facilities;​ 7.21 (5) a summary of the public education that supports the program;​ 7.22 (6) an evaluation of the effectiveness of methods and processes used to achieve​ 7.23 performance goals of the program; and​ 7.24 (7) recommendations for any changes to the program.​ 7.25 (k) Two years after the program is implemented according to paragraph (e) and every​ 7.26 three years thereafter or upon the request of the commissioner, but not more frequently than​ 7.27 once a year, the council must cause an audit of the program to be conducted by an auditor​ 7.28 as described in paragraph (i). The audit must review the accuracy of the council's data​ 7.29 concerning the program and provide any other information requested by the commissioner,​ 7.30 consistent with the requirements of this section, provided the request does not require the​ 7.31 disclosure of proprietary information or trade or business secrets. The council must pay for​ 7​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​ 8.1 the audit. The council must maintain all records relating to the program for at least three​ 8.2 years.​ 8.3 Subd. 3. Charging fee; producer participation. Upon implementation of the mattress​ 8.4 stewardship program, each manufacturer, renovator, retailer, or distributor that sells a​ 8.5 mattress to a consumer or to an ultimate end user in the state must add the mattress​ 8.6 stewardship fee to the purchase price for the mattress and must remit the fee collected to​ 8.7 the council. In each transaction, the fee must appear on the invoice and must be accompanied​ 8.8 by a brief description of the fee. The council must determine the rules and procedures​ 8.9 necessary to implement collection of the fee in a fair, efficient, and lawful manner. Any​ 8.10 producer who fails to participate in the program must not sell mattresses in this state.​ 8.11 Subd. 4. Receipt of discarded mattresses. Upon implementation of the mattress​ 8.12 stewardship program according to subdivision 2, paragraph (e), a covered entity that​ 8.13 participates in the program must not charge for the receipt of discarded mattresses that are​ 8.14 discarded in this state, except that covered entities may charge a fee for providing the service​ 8.15 of collecting mattresses and may restrict the acceptance of mattresses by number, source,​ 8.16 or physical condition.​ 8​Section 1.​ 21-03116 as introduced​02/25/21 REVISOR CKM/LN​