Florida 2023 2023 Regular Session

Florida House Bill H0691 Analysis / Analysis

Filed 03/27/2023

                    This docum ent does not reflect the intent or official position of the bill sponsor or House of Representatives. 
STORAGE NAME: h0691a.ACR 
DATE: 3/27/2023 
 
HOUSE OF REPRESENTATIVES STAFF ANALYSIS  
 
BILL #: HB 691    Recycling of Covered Electronic Devices 
SPONSOR(S): Basabe and others 
TIED BILLS:   IDEN./SIM. BILLS: CS/SB 1030 
 
REFERENCE 	ACTION ANALYST STAFF DIRECTOR or 
BUDGET/POLICY CHIEF 
1) Agriculture, Conservation & Resiliency 
Subcommittee 
16 Y, 0 N Gawin Moore 
2) Agriculture & Natural Resources Appropriations 
Subcommittee 
   
3) Infrastructure Strategies Committee   
SUMMARY ANALYSIS 
Electronic products are made from valuable resources and materials, including metals, plastics, and glass, all 
of which require energy to mine and manufacture. Recycling consumer electronics reduces the amount of raw 
materials mined and energy used to produce new products, as well as the packaging used to transport them. 
Florida has no laws or regulations that apply specifically to discarded electronic products. However, the 
Department of Environmental Protection (DEP) has provided guidelines for the disposal of electronics based 
on rules adopted by the Environmental Protection Agency.   
 
The bill establishes the statewide Covered Electronic Device Recovery Program (Program) within DEP and 
authorizes DEP to use funds from the Solid Waste Management Trust Fund to administer the Program. The 
purpose of the Program is to create a statewide plan for the recycling of covered electronic devices.  
 
By January 1, 2025, the bill requires each county to submit a plan to DEP for ensuring the county will 
appropriately dispose of covered electronic devices at a permitted reclamation facility. Effective January 1, 
2026, any person who owns or operates an industrial, institutional, or commercial facility in the state must 
dispose of that facility’s covered electronic devices in a permitted reclamation facility. Effective January 1, 
2028, the bill makes it unlawful for any person to dispose of covered electronic devices anywhere that is not a 
permitted reclamation facility.  
 
The bill specifies that a person who does not appropriately dispose of a covered electronic device is liable for 
damages and subject to a civil penalty for each offense in the amount of up to $15,000 per offense. The 
penalty may be waived if the person has previously taken appropriate corrective action to remedy the actual 
damages, if any, caused by the unlawful act or rule violation.  
 
The bill requires DEP to deposit any funds received through the Program into the Solid Waste Management 
Trust Fund. Upon appropriation, DEP may use the funds to provide grants to local governments and other 
public and private entities to develop and operate regional covered electronic device recycling programs and 
for administrative costs and other authorized expenses necessary to carry out the Program.  
 
The bill may have an indeterminate negative fiscal impact on the state and local governments. 
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DATE: 3/27/2023 
  
FULL ANALYSIS 
I.  SUBSTANTIVE ANALYSIS 
 
A. EFFECT OF PROPOSED CHANGES: 
Background 
 
Recycling Electronic Devices 
Electronic products are made from valuable resources and materials, including metals, plastics, and 
glass, all of which require energy to mine and manufacture.
1
 Recycling consumer electronics reduces 
the amount of raw materials mined and energy used to produce new products, as well as the packaging 
used to transport them.
2
 
 
According to a 2006 estimate by the United States Geological Survey (USGS), recycling one million 
laptops saves the energy equivalent to the electricity used by more than 3,500 homes in a year.
3
 In 
addition, for every million cell phones recycled, 35,000 pounds of copper, 772 pounds of silver, 75 
pounds of gold, and 33 pounds of palladium can be recovered.
4
 These recovered materials can be 
used in new products.
5
  
 
Some electronic devices contain cathode ray tubes (CRTs). CRT displays were widely used in 
televisions and computer monitors before being replaced by flat panel displays.
6
 While some CRT 
displays are still in use today, very few new CRTs are being produced as electronics manufacturers 
follow demand for flat panel displays. As consumers and businesses replace their CRT monitors and 
televisions, electronics recyclers receive the discarded CRT products. Unfortunately, the market for 
recycled CRT glass has become limited and costly, making CRT glass recycling a challenge to 
electronic scrap recyclers. As a result, some electronics recyclers and many second-hand stores such 
as Goodwill and the Salvation Army no longer accept CRT products.
7
 
 
Certified Electronics Recyclers 
The Environmental Protection Agency (EPA) recommends using certified electronics recyclers to 
manage unwanted used electronics.
8
 Electronics recyclers can become certified by demonstrating to an 
accredited, independent third-party auditor that they meet specific standards to safely recycle and 
manage electronics. There are two accredited certification standards: the Responsible Recycling 
Standard for Electronics Recyclers and the e-Stewards Standard for Responsible Recycling and Reuse 
of Electronic Equipment. Both programs advance best management practices and provide a way to 
assess the environmental, worker health and safety, and security practices of entities managing used 
electronics. Once certified, continual oversight by the independent accredited certifying body holds the 
recycler to the particular standard.
9
 
 
Rare-Earth Metals 
Rare-earth metals are a set of 17 elements, including scandium, yttrium, and praseodymium. While 
rare-earth metals are abundant in the earth’s crust, they appear in low concentrations in minerals and 
                                                
1
 Environmental Protection Agency (EPA), Electronics Donation and Recycling, https://www.epa.gov/recycle/electronics-donation-
and-recycling (last visited Mar. 23, 2023). 
2
 EPA, Secret Life of a Smart Phone, https://www.epa.gov/sites/default/files/2015-06/smartphone_infographic_700.jpg (last visited 
Mar. 23, 2023). 
3
 Id. 
4
 Id.; USGS, Recycled Cell Phones – A Treasure Trove of Valuable Metals, available at https://pubs.usgs.gov/fs/2006/3097/fs2006-
3097.pdf. (last visited Mar. 23, 2023). 
5
 EPA, Secret Life of a Smart Phone, https://www.epa.gov/sites/default/files/2015-06/smartphone_infographic_700.jpg (last visited 
Mar. 23, 2023). 
6
 DEP, Electronics Waste, https://floridadep.gov/waste/permitting-compliance-assistance/content/electronics-waste (last visited Mar. 
23, 2023). 
7
 Id. 
8
 EPA, Certified Electronics Recyclers, https://www.epa.gov/smm-electronics/certified-electronics-recyclers (last visited Mar. 23, 
2023). 
9
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are difficult to separate from other elements, which is what makes them rare.
10
 These metals are valued 
for their conductive and magnetic properties
11
 and have a wide variety of applications, ranging from 
magnets, lasers, GPS satellites, computer components, lighting, X-ray and MRI scanning systems, and 
other electronics.
12
 In addition to the electronics sector, the U.S. defense industry relies heavily on rare 
earth elements to produce weapon guidance systems, jet engines, sonar devices, and laser weapons.
13
  
 
Rare-earth metals are mined by digging vast open pits in the ground, which can contaminate the 
environment and disrupt ecosystems. When poorly regulated, mining can produce wastewater ponds 
filled with acids, heavy metals and radioactive material that might leak into groundwater. Processing the 
raw ore into a form useful to make magnets and other tech is a lengthy effort that takes large amounts 
of water and potentially toxic chemicals, and produces voluminous waste.
14
 Recycling rare-earth metals 
is one alternative to mining. Adding recycled rare-earth metals as a new source to the supply chain is 
expected to reduce environmental contamination and energy costs associated with their primary mining 
and separations.
15
 Though the cost of re-separation and purification may be a limitation on recycling 
rare-earth metals,
16
 some companies are already using this technology.
17
  
 
China is the largest producer of rare-earth metals, and accounted for 74 percent of the rare-earth 
metals imported to the U.S. in 2021.
18
 In 2022, the U.S. imported an estimated $200 million of rare-
earth compounds and metals, a 25 percent increase from 2021.
19
  
 
Electronic Waste Regulations and the CRT Rule 
Florida has no laws or regulations that apply specifically to discarded electronic products. However, the 
Department of Environmental Protection (DEP) has provided guidelines for the disposal of electronics.
20
 
These guidelines are based on the CRT rule
21
 issued by the EPA in 2006 and adopted by DEP in 
2008.
22
 The CRT rule divides electronic products into two groups: products that contain a CRT, such as 
televisions and computer monitors, and products that do not contain a CRT, such as desktop and 
portable computers, flat panel televisions and computer monitors, and cellular phones.
23
 Used CRTs 
discarded by households are considered “household hazardous waste” and are exempt from hazardous 
waste regulations.
24
 The CRT Rule is intended to encourage recycling and reuse of CRTs and CRT 
glass. The rule streamlines management requirements for recycling of used CRTs and glass removed 
from CRTs by excluding these materials from hazardous waste regulation if certain conditions are 
met.
25
 
                                                
10
 Department of Energy (DOE), Rare Earth Elements, https://www.energy.gov/fecm/rare-earth-
elements#:~:text=Rare%20earth%20oxides%20of%20gadolinium,samarium%2C%20lanthanum%2C%20and%20neodymium. (last 
visited Mar. 23, 2023).  
11
 USGS, The Rare-Earth Elements- Vital to Modern Technologies and Lifestyles, available at 
https://pubs.usgs.gov/fs/2014/3078/pdf/fs2014-3078.pdf (last visited Mar. 23, 2023). 
12
 Id.  
13
 United States Government Accountability Office, Rare Earth Materials in the Defense Supply Chain, available at 
https://www.gao.gov/assets/gao-10-617r.pdf (last visited Mar. 23, 2023). 
14
 Science News, Rare earth mining may be key to our renewable energy future. But at what cost?, 
https://www.sciencenews.org/article/rare-earth-mining-renewable-energy-future (last visited Mar. 23, 2023).  
15
 DOE, Rare Earth Recycling, https://science.osti.gov/bes/Highlights/2017/BES-2017-03-c (Mar. 23, 2023).  
16
 Id. 
17
 See Apple, Product Environmental Report, https://www.apple.com/environment/pdf/products/iphone/iPhone_12_PER_Oct2020.pdf 
(last visited Mar. 23, 2023). 
18
 United States Geological Survey (USGS), Mineral Commodity Summaries: Rare Earths, 1 (2023), available at 
https://pubs.usgs.gov/periodicals/mcs2023/mcs2023-rare-earths.pdf. (last visited Mar. 23, 2023). 
19
 Id. 
20
 DEP, Electronics Waste, https://floridadep.gov/waste/permitting-compliance-assistance/content/electronics-waste (last visited Mar. 
23, 2023).  
21
 40 CFR ss. 260, 261, and 271. 
22
 DEP, Electronics Waste, https://floridadep.gov/waste/permitting-compliance-assistance/content/electronics-waste (last visited Mar. 
23, 2023). 
23
 Id. 
24
 40 CFR 261.4(b)(1). See also EPA, Frequent Questions About the Regulation of Used Cathode Ray Tubes (CRTs) and CRT Glass, 
no. 18, https://www.epa.gov/hw/frequent-questions-about-regulation-used-cathode-ray-tubes-crts-and-crt-glass#2 (last visited Mar. 23, 
2023). 
25
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Effect of the Bill  
 
The bill defines “covered electronic device” to mean a computer, portable computer, computer monitor, 
or television, whether it has a cathode ray tube or flat panel based on any technology, with a screen 
size greater than four inches measured diagonally. The term does not include an electronic device that 
is: 
 A part of a motor vehicle or any component part of a motor vehicle assembled by or for a 
vehicle manufacturer or franchised dealer, including but not limited to, replacement parts for use 
in a motor vehicle; 
 Functionally or physically a part of a larger piece of equipment designed and intended for 
industrial, commercial, or medical setting, including but not limited to, diagnostic, monitoring, or 
control equipment; 
 Contained within a clothes washer, clothes dryer, refrigerator, refrigerator and freezer, 
microwave oven, conventional oven or range, dishwasher, room air conditioner, dehumidifier, or 
air purifier; or  
 A telephone of any type.  
 
The bill defines “reclamation facility” to mean a site permitted by DEP where equipment is used to 
handle, process, disassemble, dismantle, shred, recapture, or store recoverable materials.  
 
The bill establishes the statewide Covered Electronic Device Recovery Program (Program) within DEP 
and authorizes DEP to use funds from the Solid Waste Management Trust Fund to administer the 
Program. The purpose of the Program is to create a statewide plan for the recycling of covered 
electronic devices. When creating the statewide plan, the bill requires DEP to consider the following: 
 Existing collection and consolidation infrastructure for collecting covered electronic devices; 
 Convenience standards for each county or solid waste authority serving one or more counties; 
 County population statistics and data of residents; and 
 Administrative costs and other authorized expenses necessary to prevent the disposal of 
covered electronic devices in landfills.  
 
By January 1, 2025, the bill requires each county to submit a plan to DEP for ensuring the county will 
appropriately dispose of covered electronic devices at a permitted reclamation facility. Effective January 
1, 2026, any person who owns or operates an industrial, institutional, or commercial facility in the state 
must dispose of that facility’s covered electronic devices in a permitted reclamation facility. Effective 
January 1, 2028, the bill makes it unlawful for any person to dispose of covered electronic devices 
anywhere that is not a permitted reclamation facility.   
 
The bill specifies that a person who does not appropriately dispose of a covered electronic device is 
liable for damages and subject to a civil penalty for each offense in an amount of up to $15,000 per 
offense. The penalty may be waived if the person has previously taken appropriate corrective action to 
remedy the actual damages, if any, caused by the unlawful act or rule violation. 
 
The bill requires DEP to deposit any funds received through the Program into the Solid Waste 
Management Trust Fund and to account for such funds separately within the trust. Upon appropriation, 
DEP may use the funds to provide grants to local governments and other public and private entities to 
develop and operate regional covered electronic device recycling programs and for administrative costs 
and other authorized expenses necessary to carry out the Program.  
 
By July 1, 2024, the bill requires DEP to adopt rules to implement the Program. The rules must include: 
 Criteria and procedures for obtaining a reclamation facility permit. 
 Standards for reclamation facilities and associated collection centers and standards for the 
storage of covered electronic devices.  
 Requirements for the collection of data on the amounts of precious metals recovered through 
the program.  
 
B. SECTION DIRECTORY:  STORAGE NAME: h0691a.ACR 	PAGE: 5 
DATE: 3/27/2023 
  
Section 1. Creates s. 403.71853, F.S., related to recycling of covered electronic devices.  
 
Section 2. Provides an effective date of July 1, 2023. 
II.  FISCAL ANALYSIS & ECONOMIC IMPACT STATEMENT 
 
A. FISCAL IMPACT ON STATE GOVERNMENT: 
 
1. Revenues: 
None. 
 
2. Expenditures: 
The bill may have an indeterminate negative fiscal impact on DEP associated with creating and 
implementing the Program.  
 
B. FISCAL IMPACT ON LOCAL GOVERNMENTS: 
 
1. Revenues: 
None. 
 
2. Expenditures: 
The bill may have an indeterminate negative fiscal impact on counties associated with developing 
plans pursuant to the bill.  
 
C. DIRECT ECONOMIC IMPACT ON PRIVATE SECTOR: 
None. 
 
D. FISCAL COMMENTS: 
None.  
III.  COMMENTS 
 
A. CONSTITUTIONAL ISSUES: 
 
 1. Applicability of Municipality/County Mandates Provision: 
The county/municipality mandates provision of Art. VII, s. 18 of the Florida Constitution may apply 
because this bill may require counties to expend funds to develop plans to ensure the county will 
appropriately dispose of covered electronic devices at a permitted reclamation facility; however, an 
exemption may apply because the law would likely have an insignificant fiscal impact. 
 
 2. Other: 
None. 
 
B. RULE-MAKING AUTHORITY: 
The bill requires DEP to adopt rules related to developing the Program.  
 
C. DRAFTING ISSUES OR OTHER COMMENTS: 
None. 
 
IV.  AMENDMENTS/COMMITTEE SUBSTITUTE CHANGES 
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DATE: 3/27/2023