Texas 2023 88th Regular

Texas House Bill HB3060 Engrossed / Bill

Filed 04/26/2023

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                    88R18956 DRS-F
 By: Thompson of Brazoria H.B. No. 3060


 A BILL TO BE ENTITLED
 AN ACT
 relating to the regulation of recycling and recycled products.
 BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF TEXAS:
 SECTION 1.  Section 361.003, Health and Safety Code, is
 amended by amending Subdivisions (1), (10-a), (24-a), (25), (25-a),
 (26-a), (27), (34), (35), and (36) and adding Subdivisions (1-a),
 (6-a), and (37-a) to read as follows:
 (1)  "Advanced recycling facility" means a
 manufacturing facility that receives, stores, and converts
 post-use polymers and recoverable feedstocks using advanced
 recycling technologies and processes including pyrolysis,
 gasification, solvolysis, and depolymerization.  For purposes of
 this chapter and rules adopted by the commission under this
 chapter, an advanced recycling facility is not a solid waste
 facility, final disposal facility, waste-to-energy facility, or
 incinerator.
 (1-a)  "Apparent recharge zone" means that recharge
 zone designated on maps prepared or compiled by, and located in the
 offices of, the commission.
 (6-a)  "Depolymerization" means a manufacturing
 process through which post-use polymers are broken down into:
 (A)  smaller molecules, including monomers and
 oligomers; or
 (B)  raw materials or intermediate or final
 products, including plastics and chemical feedstocks, basic and
 unfinished chemicals, waxes, lubricants, or coatings.
 (10-a)  "Gasification" means a process through which
 recoverable feedstocks are heated and converted into a fuel-gas
 mixture in an oxygen-deficient atmosphere and the mixture is
 converted into [a] valuable raw materials or valuable[,]
 intermediate[,] or final products [product], including plastic
 monomers, chemicals, waxes, lubricants, or chemical feedstocks [a
 plastic, monomer, chemical, wax, lubricant, or chemical feedstock
 or crude oil, diesel, gasoline, diesel and gasoline blendstock,
 home heating oil, ethanol, or another fuel]. The term does not
 include incineration.
 (24-a)  "Post-use polymers" means plastics that:
 (A)  are derived from any industrial, commercial,
 agricultural, or domestic activity, including preconsumer
 recovered materials and postconsumer materials;
 (B)  are sorted from solid waste and other
 regulated waste and may contain residual amounts of organic
 material and incidental contaminants or impurities such as paper
 labels or metal rings;
 (C)  are not mixed with solid waste or hazardous
 waste onsite or during processing at an advanced recycling
 facility;
 (D)  are used or intended for use as a feedstock or
 for the production of feedstocks, raw materials, or other
 intermediate or final products using advanced recycling; and
 (E)  are processed or held prior to processing at
 an advanced recycling facility [plastic polymers that derive from
 any household, industrial, community, commercial, or other sources
 of operations or activities that might otherwise become waste if
 not converted into a valuable raw, intermediate, or final product.
 Post-use polymers include used polymers that contain incidental
 contaminants or impurities such as paper labels or metal rings but
 do not include used polymers mixed with solid waste, medical waste,
 hazardous waste, electronic waste, tires, or construction or
 demolition debris].
 (25)  "Processing" means the extraction of materials
 from or the transfer, volume reduction, conversion to energy, or
 other separation and preparation of solid waste for reuse or
 disposal.  The term includes the treatment or neutralization of
 hazardous waste designed to change the physical, chemical, or
 biological character or composition of a hazardous waste so as to
 neutralize the waste, recover energy or material from the waste,
 render the waste nonhazardous or less hazardous, make it safer to
 transport, store, or dispose of, or render it amenable for recovery
 or storage, or reduce its volume.  The term does not include:
 (A)  pyrolysis, [or] gasification, solvolysis, or
 depolymerization; or
 (B)  activities concerning those materials
 exempted by the administrator of the United States Environmental
 Protection Agency under the federal Solid Waste Disposal Act, as
 amended by the Resource Conservation and Recovery Act of 1976, as
 amended (42 U.S.C. Section 6901 et seq.), unless the commission
 determines that regulation of the activity under this chapter is
 necessary to protect human health or the environment.
 (25-a)  "Pyrolysis" means a manufacturing process
 through which post-use polymers are heated in an oxygen-deficient
 atmosphere [until melted and thermally decomposed and then cooled,
 condensed,] and the pyrolysis product is converted into [a]
 valuable raw materials or valuable[,] intermediate[,] or final
 products [product], including plastic monomers, chemicals,
 naphtha, waxes, polymers, or plastic and chemical feedstocks [a
 plastic, monomer, chemical, wax, lubricant, or chemical feedstock
 or crude oil, diesel, gasoline, diesel and gasoline blendstock,
 home heating oil, ethanol, or another fuel]. The term does not
 include incineration.
 (26-a)  "Recoverable feedstock" means one or more of
 the following materials, derived from recoverable waste other than
 coal refuse, that has been processed so that it may be used as
 feedstock in an advanced recycling facility or through [a]
 gasification [facility]:
 (A)  post-use polymers; and
 (B)  material, including municipal solid waste
 [containing post-use polymers] and other post-industrial waste:
 (i)  [containing post-use polymers, that has
 been processed into a fuel or feedstock] for which the commission or
 the United States Environmental Protection Agency has made a
 non-waste determination under 40 C.F.R. Section 241.3(c); or
 (ii)  that the commission or the United
 States Environmental Protection Agency has otherwise determined
 are feedstocks and not solid waste.
 (27)  "Recycling" has the meaning assigned by Section
 361.421 [means the legitimate use, reuse, or reclamation of solid
 waste].
 (34)  This subdivision expires on delegation of the
 Resource Conservation and Recovery Act of 1976 authority to the
 Railroad Commission of Texas.  Subject to the limitations of 42
 U.S.C. Section 6903(27) and 40 C.F.R. Section 261.4(a), "solid
 waste" means garbage, rubbish, refuse, sludge from a waste
 treatment plant, water supply treatment plant, or air pollution
 control facility, and other discarded material, including solid,
 liquid, semisolid, or contained gaseous material resulting from
 industrial, municipal, commercial, mining, and agricultural
 operations and from community and institutional activities.  The
 term:
 (A)  does not include:
 (i)  solid or dissolved material in domestic
 sewage, or solid or dissolved material in irrigation return flows,
 or industrial discharges subject to regulation by permit issued
 under Chapter 26, Water Code;
 (ii)  soil, dirt, rock, sand, and other
 natural or man-made inert solid materials used to fill land if the
 object of the fill is to make the land suitable for the construction
 of surface improvements;
 (iii)  waste materials that result from
 activities associated with the exploration, development, or
 production of oil or gas or geothermal resources and other
 substance or material regulated by the Railroad Commission of Texas
 under Section 91.101, Natural Resources Code, unless the waste,
 substance, or material results from activities associated with
 gasoline plants, natural gas or natural gas liquids processing
 plants, pressure maintenance plants, or repressurizing plants and
 is hazardous waste as defined by the administrator of the United
 States Environmental Protection Agency under the federal Solid
 Waste Disposal Act, as amended by the Resource Conservation and
 Recovery Act of 1976, as amended (42 U.S.C. Section 6901 et seq.);
 or
 (iv)  post-use polymers or recoverable
 feedstocks processed through pyrolysis, [or] gasification,
 solvolysis, or depolymerization that do not qualify as hazardous
 waste under the Resource Conservation and Recovery Act of 1976 (42
 U.S.C. Section 6901 et seq.); and
 (B)  does include hazardous substances, for the
 purposes of Sections 361.271 through 361.277 and 361.343 through
 361.345.
 (35)  This subdivision is effective on delegation of
 the Resource Conservation and Recovery Act of 1976 authority to the
 Railroad Commission of Texas.  Subject to the limitations of 42
 U.S.C. Section 6903(27) and 40 C.F.R. Section 261.4(a), "solid
 waste" means garbage, rubbish, refuse, sludge from a waste
 treatment plant, water supply treatment plant, or air pollution
 control facility, and other discarded material, including solid,
 liquid, semisolid, or contained gaseous material resulting from
 industrial, municipal, commercial, mining, and agricultural
 operations and from community and institutional activities.  The
 term:
 (A)  does not include:
 (i)  solid or dissolved material in domestic
 sewage, or solid or dissolved material in irrigation return flows,
 or industrial discharges subject to regulation by permit issued
 under Chapter 26, Water Code;
 (ii)  soil, dirt, rock, sand, and other
 natural or man-made inert solid materials used to fill land if the
 object of the fill is to make the land suitable for the construction
 of surface improvements;
 (iii)  waste materials that result from
 activities associated with the exploration, development, or
 production of oil or gas or geothermal resources and other
 substance or material regulated by the Railroad Commission of Texas
 under Section 91.101, Natural Resources Code; or
 (iv)  post-use polymers or recoverable
 feedstocks processed through pyrolysis, [or] gasification,
 solvolysis, or depolymerization that do not qualify as hazardous
 waste under the Resource Conservation and Recovery Act of 1976 (42
 U.S.C. Section 6901 et seq.); and
 (B)  does include hazardous substances, for the
 purposes of Sections 361.271 through 361.277 and 361.343 through
 361.345.
 (36)  "Solid waste facility" means all contiguous land,
 including structures, appurtenances, and other improvements on the
 land, used for processing, storing, or disposing of solid
 waste.  The term includes a publicly or privately owned solid waste
 facility consisting of several processing, storage, or disposal
 operational units such as one or more landfills, surface
 impoundments, or a combination of units.  The term does not include
 an advanced recycling [a pyrolysis or gasification] facility.
 (37-a)  "Solvolysis" means a manufacturing process
 through which post-use polymers are purified with the aid of
 solvents while heated at low temperatures, pressurized, or both
 heated at low temperatures and pressurized, to remove additives and
 contaminants and make useful products, including monomers,
 intermediates, valuable chemicals, plastic and chemical
 feedstocks, and raw materials. The process includes hydrolysis,
 aminolysis, ammonolysis, methanolysis, and glycolysis.
 SECTION 2.  Section 361.0151, Health and Safety Code, is
 amended by adding Subsection (c) to read as follows:
 (c)  Notwithstanding any other law, the commission or a
 political subdivision of this state that establishes goals or
 requirements for recycling or the use of recycled material must
 base those goals or requirements on the definitions and principles
 established by Subchapter N. This subsection does not apply to a
 program described by Subchapter Y or Z.
 SECTION 3.  Section 361.041(a), Health and Safety Code, is
 amended to read as follows:
 (a)  The commission may not consider post-use polymers or
 recoverable feedstock to be solid waste if they are converted using
 pyrolysis, [or] gasification, solvolysis, or depolymerization into
 [a] valuable raw materials or valuable[,] intermediate[,] or final
 products [product], including plastic monomers, chemicals, waxes,
 lubricants, or chemical feedstocks [a plastic, monomer, chemical,
 wax, lubricant, or chemical feedstock or crude oil, diesel,
 gasoline, diesel and gasoline blendstock, home heating oil,
 ethanol, or another fuel].
 SECTION 4.  Section 361.119(c-1), Health and Safety Code, is
 amended to read as follows:
 (c-1)  A facility that reuses or converts recyclable
 materials through pyrolysis, [or] gasification, solvolysis, or
 depolymerization, and the operations conducted and materials
 handled at the facility, are not subject to regulation under rules
 adopted under this section if the owner or operator of the facility
 demonstrates that:
 (1)  the primary function of the facility is to convert
 materials into products [that have a resale value greater than the
 cost of converting the materials] for subsequent beneficial use;
 and
 (2)  all the solid waste generated from converting the
 materials is disposed of in a hazardous solid waste management
 facility or a solid waste facility authorized under this chapter,
 as appropriate, with the exception of small amounts of solid waste
 that may be inadvertently and unintentionally disposed of in
 another manner.
 SECTION 5.  Section 361.421, Health and Safety Code, is
 amended by amending Subdivisions (5), (6), (7), and (8) and adding
 Subdivision (6-a) to read as follows:
 (5)  "Recyclable material" means material that can be
 or has been recovered or diverted from the [solid] waste stream for
 purposes of reuse, recycling, or reclamation, a substantial portion
 of which is consistently used in the manufacture of products which
 may otherwise be produced using raw or virgin materials. The term
 includes any waste stream, including post-use polymers and
 recoverable feedstocks that are converted through pyrolysis, [or]
 gasification, solvolysis, or depolymerization into valuable raw
 materials or valuable[,] intermediate[,] and final products.
 Recyclable material is not solid waste unless the material is
 deemed to be hazardous solid waste by the Administrator of the
 United States Environmental Protection Agency, whereupon it shall
 be regulated accordingly unless it is otherwise exempted in whole
 or in part from regulation under the federal Solid Waste Disposal
 Act, as amended by the Resource Conservation and Recovery Act of
 1976 (42 U.S.C. Section 6901 et seq.), by Environmental Protection
 Agency regulation. However, recyclable material may become solid
 waste at such time, if any, as it is abandoned or disposed of rather
 than recycled, whereupon it will be solid waste with respect only to
 the party actually abandoning or disposing of the material.
 (6)  "Recycled material" means materials, goods, or
 products that consist of recovered recyclable material or materials
 derived from recoverable feedstocks, post-use polymers,
 postconsumer waste, industrial waste, or hazardous waste which may
 be used in place of a raw or virgin material in manufacturing a new
 product or that are certified under a third-party certification
 system for mass balance attribution identified by the commission
 under Section 361.4215. The term includes recycled plastics
 [post-use polymers and recoverable feedstocks used in pyrolysis or
 gasification].
 (6-a)  "Recycled plastics" means products that are
 produced from:
 (A)  mechanical recycling of post-use polymers;
 or
 (B)  nonmechanical recycling of recoverable
 feedstocks or post-use polymers that are certified under a
 third-party certification system for mass balance attribution
 identified by the commission under Section 361.4215.
 (7)  "Recycled product" means a product that is
 eligible to be considered a recycled product under [which meets the
 requirements for recycled material content as prescribed by] the
 rules established by the commission under [described in] Section
 361.427. The term does not include a product sold as fuel.
 (8)  "Recycling" means a process by which materials
 that have served their intended use or are scrapped, discarded,
 used, surplus, or obsolete are collected, separated, or processed
 and returned to use in the form of raw materials or feedstocks used
 in the manufacture [production] of new products. The term does not
 include incineration of plastics or waste-to-energy processes.
 Recycling includes:
 (A)  the composting process if the compost
 material is put to beneficial reuse as defined by the commission;
 (B)  the application to land, as organic
 fertilizer, of processed sludge or biosolids from municipal
 wastewater treatment plants and other organic matter resulting from
 poultry, dairy, livestock, or other agricultural operations; and
 (C)  the conversion of post-use polymers and
 recoverable feedstocks through pyrolysis, [or] gasification,
 solvolysis, or depolymerization.
 SECTION 6.  Subchapter N, Chapter 361, Health and Safety
 Code, is amended by adding Section 361.4215 to read as follows:
 Sec. 361.4215.  MASS BALANCE ATTRIBUTION. The commission by
 rule shall identify third-party certification systems for mass
 balance attribution that may be used for the purposes of Sections
 361.421(6) and (6-a).
 SECTION 7.  Sections 361.427(a) and (b), Health and Safety
 Code, are amended to read as follows:
 (a)  The commission, in consultation with the comptroller,
 shall promulgate rules to establish guidelines by which a product
 is eligible to be considered a recycled product based on:
 (1)  the percent of the total content of a product that
 consists of recycled material; or
 (2)  the portion of the total content of a product that
 is determined to consist of recycled material according to a
 third-party certification system for mass balance attribution
 identified by the commission under Section 361.4215. [which specify
 the percent of the total content of a product which must consist of
 recycled material for the product to be a "recycled product."]
 (b)  The guidelines established under this section shall
 specify a minimum percent of the recycled material in a product
 which must be postconsumer waste or post-use polymers.
 SECTION 8.  Sections 361.003(10-b) and (25-b), Health and
 Safety Code, are repealed.
 SECTION 9.  As soon as practicable after the effective date
 of this Act, the Texas Commission on Environmental Quality shall
 adopt rules necessary to implement the changes in law made by this
 Act.
 SECTION 10.  This Act takes effect immediately if it
 receives a vote of two-thirds of all the members elected to each
 house, as provided by Section 39, Article III, Texas Constitution.
 If this Act does not receive the vote necessary for immediate
 effect, this Act takes effect September 1, 2023.