Read the full stored bill text
A bill for an act
relating to solid waste; requiring a system for collecting and recycling discarded
tires to be financed and operated by tire producers; establishing an account;
appropriating money; proposing coding for new law in Minnesota Statutes, chapter
115A.
BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:
Section 1.
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[115A.1417] DISCARDED TIRE PRODUCT STEWARDSHIP PROGRAM.
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Subdivision 1.
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Definitions.
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(a) For purposes of this section, the following terms have
the meanings given.
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(b) "Brand" means a name, symbol, word, or mark that attributes a tire to its producer.
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(c) "Collection" means the aggregation of discarded tires for transport for recycling or
reuse.
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(d) "Consumer" means a person who purchases a tire at retail for use.
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(e) "Covered entity" means a person or entity in possession of a discarded tire, including
but not limited to a retailer, auto dealership, automotive repair facility, fleet maintenance
facility, collection site as defined in section 115A.90, subdivision 2, or other location.
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(f) "Discarded tire" means a whole tire discarded by a consumer.
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(g) "Fleet maintenance facility" means a site where motor vehicles owned by a private
or public entity are maintained for use by employees of the motor vehicle owner.
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(h) "Performance goals" means annual outcomes proposed in a tire stewardship plan
that measure the program's operations and accomplishments, economic and environmental
benefits, beneficial recycling uses, public education efforts, and other specified goals.
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(i) "Producer" means the following person who markets new tires separately from any
vehicle or equipment and is responsible for compliance with this section:
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(1) if the brand holder of the tire is a resident of the United States, the tire manufacturer;
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(2) if there is no person as described in clause (1), a person who is the owner or licensee
of a trademark under which the tire is offered for sale in this state, whether or not the
trademark is registered;
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(3) if there is no person as described in clause (1) or (2), the person who imports the tire
into this state for sale to a consumer; or
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(4) if there is no person as described in clauses (1) to (3), the retailer who offers the tire
for sale to a consumer.
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(j) "Recycling" means a process in which discarded tires may lose their original identity
or form as they are transformed into new, usable, or marketable materials. Recycling includes
the use of tires or processed tire materials that are incinerated or used as a fuel or fuel
supplement.
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(k) "Retailer" means a person who offers a tire for sale to a consumer in this state,
including a person who does so through service to a motor vehicle, through an Internet
transaction, or through any other means.
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(l) "Tire" means a product composed primarily of rubber that is mounted on the wheels
of a passenger or commercial on-road or off-road motorized vehicle to provide mobility,
including on passenger vehicles; motorcycles; trucks; buses; mobile homes; trailers;
noncommercial aircraft; and earth-moving, road-building, mining, logging, agricultural,
industrial, and other vehicles. Tire does not include a tire from a toy, bicycle, commercial
aircraft, or personal mobility device.
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(m) "Tire stewardship organization" or "stewardship organization" means an organization
established by one or more producers that designs and submits a tire stewardship plan to
the commissioner and implements an approved plan under this section.
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(n) "Tire stewardship plan" or "plan" means the plan describing a tire stewardship
organization's tire collection, transportation, and recycling system that is submitted to the
commissioner for approval under this section.
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(o) "Tire stewardship program" or "program" means a statewide tire collection,
transportation, and recycling program implemented under a plan approved by the
commissioner under this section.
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Subd. 2.
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Participation required to sell.
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On and after January 1, 2027, no person may
sell or offer for sale a tire in this state unless the producer of the tire participates in a tire
stewardship plan approved by the commissioner under this section.
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Subd. 3.
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Tire stewardship program.
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A tire stewardship program approved by the
commissioner must, at a minimum:
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(1) establish and manage a statewide collection system utilizing covered entities;
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(2) allow any person to deposit a discarded tire, free of charge, at a site that is part of
the program's collection system;
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(3) ensure that discarded tires are collected and transported for recycling;
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(4) ensure that all discarded tires collected are resold or recycled;
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(5) provide suitable storage for collected tires;
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(6) promote the program to the public;
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(7) assist in developing a market for discarded and recycled tires, as needed, in order to
achieve the program's performance goals; and
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(8) fund all program activities solely through producer fees.
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Subd. 4.
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Tire stewardship plan; content.
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A tire stewardship plan submitted to the
commissioner for approval must, at a minimum:
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(1) identify each producer participating in the program;
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(2) describe how the program will be financed;
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(3) establish performance goals for the program's first two years;
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(4) describe how the plan will maximize the use of existing service providers and
infrastructure in the state;
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(5) identify facilities that will collect, transport, and recycle discarded tires;
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(6) describe how the program will promote the recycling of discarded tires to become
higher value products; and
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(7) include a description of outreach activities that will be conducted to increase public
awareness of the program.
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Subd. 5.
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Program financing.
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A stewardship organization must establish a system to
finance the program through fees on producers that fully pay for but do not exceed the costs
of developing, implementing, and operating a tire stewardship plan, while maintaining a
financial reserve adequate to operate the program for at least six months.
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Subd. 6.
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Administrative fee.
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(a) A stewardship organization must pay an annual
administrative fee to the commissioner. Before June 1, 2027, and before each June 1
thereafter, the commissioner must identify the costs the agency incurs to administer and
enforce this section. The commissioner must set the fee at an amount that, when paid by
the stewardship organization, is sufficient to fully reimburse but not exceed the agency's
costs to administer and enforce this section.
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(b) A stewardship organization must pay the administrative fee required under this
subdivision on or before July 1, 2027, and annually thereafter on a schedule and in a manner
prescribed by the commissioner.
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(c) The commissioner must deposit all fees received under this subdivision in the account
established in subdivision 14.
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(d) The commissioner must arrange for an annual true-up process to reconcile agency
costs incurred and administrative fees received in the previous year.
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Subd. 7.
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User fees prohibited.
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The tire stewardship program must be fully paid for by
producers without any fee, charge, surcharge, or any other cost to members of the public,
businesses other than a producer, persons managing discarded tires, the state or any political
subdivision, or any other person who is not a producer.
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Subd. 8.
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Plan review and approval.
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(a) The commissioner must approve a tire
stewardship plan for establishing a tire stewardship program that meets the requirements
of this section. Before approving or disapproving a plan, the commissioner must post the
plan on the agency's website for public comment.
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(b) The commissioner must determine whether to approve the plan no later than 90 days
after receiving it. If the commissioner disapproves the plan, the commissioner must describe
the reasons for the disapproval in writing to the stewardship organization.
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(c) The stewardship organization must revise and resubmit the plan to the commissioner
within 45 days of receiving the commissioner's notice of disapproval. The commissioner
must review and approve or disapprove the revised plan within 45 days after receiving it
and must provide written notice of the decision to the stewardship organization. A
stewardship organization may resubmit a revised tire stewardship plan for the commissioner's
approval no more than twice.
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(d) If the stewardship organization fails to submit a plan under paragraph (c) that is
acceptable to the commissioner, the commissioner must modify a submitted plan to conform
to the requirements of this section. The stewardship organization must fully implement the
plan modified by the commissioner within 120 days after the commissioner's approval.
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Subd. 9.
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Plan amendments.
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(a) A stewardship organization must submit any proposed
change to the tire stewardship plan to the commissioner for approval.
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(b) Two years after program implementation and every three years thereafter, a
stewardship organization must submit performance goals for the next three years to the
commissioner for approval.
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Subd. 10.
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Annual report.
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(a) Beginning March 1, 2028, and each March 1 thereafter,
a stewardship organization must submit an annual report to the commissioner on a form
prescribed by the commissioner describing program operations during the previous calendar
year. The commissioner must post the annual report on the agency's website. The report
must include, at a minimum:
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(1) a description of methods used to collect, transport, reuse, and recycle discarded tires
in all regions of the state;
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(2) the weight of all discarded tires collected:
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(i) in each separate region of the state; and
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(ii) by type of covered entity;
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(3) the weight of all tires sold in the state;
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(4) the weight of discarded tires collected in the state by method of disposition, including
recycling, reuse, for use as a fuel, disposal of residuals, and other processing methods;
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(5) a comparison of the amount of discarded tires collected and recycled with the
performance goals established according to subdivision 4 and, if the goals have not been
met, a discussion of reasons for the shortfall and modifications to the program the stewardship
organization will implement to ensure that future performance goals are met; and
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(6) samples of educational materials provided to consumers and an evaluation of the
effectiveness of the materials and the methods used to disseminate them.
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(b) A stewardship organization or producer must furnish information the commissioner
requests for the purpose of determining compliance with this section.
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Subd. 11.
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Audit.
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(a) Two years after implementing a tire stewardship program and every
three years thereafter, or upon request of the commissioner, but not more frequently than
once per year, a stewardship organization must finance and submit to the commissioner an
audit of the program conducted by an auditor approved by the commissioner. The audit
must review the stewardship organization's finances and the accuracy of the stewardship
organization's data regarding program operations.
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(b) Any trade secret information, as defined in section 13.37, submitted to the
commissioner under this subdivision is private and nonpublic data under section 13.37.
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Subd. 12.
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Records.
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A stewardship organization must maintain all records relating to the
program for not less than three years.
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Subd. 13.
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Conduct authorized.
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A stewardship organization that organizes collection,
transportation, and recycling of discarded tires under this section is immune from liability
for the conduct under state laws relating to antitrust, restraint of trade, unfair trade practices,
and other regulation of trade or commerce only to the extent that the conduct is necessary
to plan and implement the stewardship organization's chosen organized collection or recycling
system.
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Subd. 14.
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Account established.
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(a) A discarded tire stewardship account is established
in the special revenue fund in the state treasury. The account consists of money received
from the administrative fee established in subdivision 6. The commissioner must manage
the account.
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(b) Money in the account is appropriated to the commissioner for administering and
enforcing this section.
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EFFECTIVE DATE.
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This section is effective the day following final enactment.
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