SENATE BILL NO. 1137

June 30, 2022, Introduced by Senator LAUWERS and referred to the Committee on Environmental Quality.

"Natural resources and environmental protection act,"

by amending sections 17301, 17303, 17305, 17307, 17309, 17311, 17313, 17317, 17319, 17321, 17323, 17325, and 17327 (MCL 324.17301, 324.17303, 324.17305, 324.17307, 324.17309, 324.17311, 324.17313, 324.17317, 324.17319, 324.17321, 324.17323, 324.17325, and 324.17327), sections 17301, 17305, 17307, 17309, 17311, 17313, and 17327 as added by 2008 PA 394, sections 17303 and 17317 as amended by 2019 PA 85, sections 17319 and 17323 as added by 2008 PA 395, section 17321 as added by 2008 PA 392, and section 17325 as added by 2008 PA 393, and by adding sections 17311b, 17311d, 17311f, 17311h, 17311j, 17313b, 17313d, 17313f, 17313h, 17313j, 17328, and 17335.

the people of the state of michigan enact:

Sec. 17301. As used in this part:

(a) "Assessment period" means a period of 3 calendar months starting on the day immediately following the last day of the preceding assessment period. The first assessment period starts on the first day of the first program year.

(b) "Best practices" means standards for collecting and preparing items for shipment and recycling, such as standards for packaging for transport, load size, acceptable load contamination levels, and items included in a load that are not covered electronic devices.

(d) "Collection convenience standard" means the collection site and collection event standards under section 17311f.

(e) "Collection obligation" means the CED collection services that the clearinghouse assigns to a manufacturer for a given program year under section 17311h.

(f) (a) "Collector" means a person who receives covered electronic devices from consumers and arranges for the delivery of the covered electronic devices to a recycler. Collector includes, but is not limited to, both of the following:

(i) A local electronics recycler or other company that consolidates CEDs from collection points into loads meeting the requirements of recyclers identified by a manufacturer group.

(ii) A government entity that has submitted a notice under section 17311f(1).

(b) "Computer" means a desktop personal computer or laptop computer, a computer monitor, or beginning April 1, 2011, a printer. Computer does not include any of the following:

(i) A personal digital assistant device or mobile telephone.

(ii) A computer peripheral device, including a mouse or other similar pointing device, or a detachable or wireless keyboard.

(g) "Computer", subject to subdivision (h), means a high-speed data processing device for performing logical, arithmetic, or storage functions that is marketed by the manufacturer for use by households or schools. Computer includes all of the following:

(i) A desktop-style tower or box computer without a monitor, including a mini personal computer.

(ii) An all-in-one desktop-style computer the screen of which is integrated with the processor.

(iii) A laptop, notebook, or netbook computer.

(iv) A tablet computer.

(v) A server used by a household or school.

(vi) A thin client used by a household or school.

(h) "Computer" does not include any of the following:

(i) An automated typewriter or typesetter.

(ii) A portable hand-held calculator or device, such as a mobile telephone or personal digital assistant device.

(iii) A digital camera.

(iv) A device that is functionally or physically a part of, connected to, or integrated within a larger piece of equipment or system designed and intended for use in an industrial, governmental, commercial, research and development, or medical setting, including, but not limited to, diagnostic, monitoring, or control products, medical products approved under the federal food, drug, and cosmetic act, 21 USC 301 to 399, equipment used for security, sensing, monitoring, antiterrorism, or emergency services purposes, or equipment designed and intended primarily for use by professional users.

(i) "Computer monitor" means an electronic device that meets both of the following requirements:

(i) Is a cathode ray tube or display.

(ii) Is primarily intended to display information from a consumer computer or the internet.

(j) "Computer peripheral" means a keyboard or any other device, other than a consumer printer, that is sold exclusively for external use with a consumer computer and that provides input into or output from a consumer computer. Computer peripheral includes, but is not limited to, all of the following:

(i) An external CD or DVD drive.

(ii) An external hard drive or backup drive.

(iii) An external modem.

(iv) A flash drive or memory stick for use with a computer.

(v) A game controller, such as a joystick, used with a computer.

(vi) A keyboard.

(vii) A mouse.

(viii) A projector, such as an LCD or LED projector used with a consumer computer.

(ix) A scanner.

(x) A speaker used with a computer.

(xi) A wire, cord, or cable designed and intended for use with a covered electronic device.

(k) (d) "Consumer" means a person who used purchases a covered electronic device primarily for personal or small business school purposes in this state or describes a covered electronic device purchased for personal or school purposes in this state.

(e) "Covered computer" means a computer that was or will be used primarily for personal or small business purposes in this state. Covered computer does not include a device that is functionally or physically a part of, or connected to, or integrated within a larger piece of equipment or system designed and intended for use in an industrial, governmental, commercial, research and development, or medical setting, including, but not limited to, diagnostic, monitoring, or control products, medical products approved under the federal food, drug, and cosmetic act, 21 USC 301 to 399, equipment used for security, sensing, monitoring, antiterrorism, or emergency services purposes, or equipment designed and intended primarily for use by professional users.

(f) "Covered electronic device" means a covered computer or covered video display device.

(l) "Covered electronic device" or "CED", subject to subdivision (m), means any of the following if sold at retail for consumer or school use:

(i) A computer.

(ii) A small-scale server.

(iii) A computer monitor.

(iv) A computer peripheral.

(v) A television.

(vi) A printer.

(vii) A facsimile machine.

(viii) A scanner.

(ix) A digital video disc player.

(x) A digital video disc recorder.

(xi) A videocassette recorder.

(xii) A video game console.

(xiii) A digital converter box.

(xiv) A cable receiver.

(xv) A satellite receiver.

(xvi) An electronic keyboard.

(xvii) An electronic mouse.

(xviii) A portable digital music player that has memory capability and is battery powered.

(m) "Covered electronic device" does not include any of the following:

(i) 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 replacement parts for use in a motor vehicle.

(ii) An electronic device that is functionally or physically part of a larger piece of equipment or that is taken out of service from an industrial, commercial, commercial retail, library checkout, traffic control, kiosk, security, other than household security, governmental, agricultural, or medical setting, including, but not limited to, diagnostic, monitoring, or control equipment.

(iii) An electronic device that is functionally or physically part of a clothes washer, clothes dryer, refrigerator, freezer, refrigerator and freezer, microwave oven, conventional oven or range, dishwasher, room air conditioner, dehumidifier, water pump, sump pump, or air purifier.

(n) "Covered electronic device category" or "CED category" means 1 of the following 8 categories of CEDs:

(i) A computer or small-scale server.

(ii) A computer monitor.

(iii) A television.

(iv) A printer, facsimile machine, or scanner.

(v) A digital video disc player, digital video disc recorder, or videocassette recorder.

(vi) A video game console.

(vii) A digital converter box, cable receiver, or satellite receiver.

(viii) An electronic keyboard, electronic mouse, or portable digital music player that has memory capability and is battery powered.

(g) "Covered video display device" means a video display device that was or will be used primarily for personal or small business purposes in this state. Covered video display device does not include a device that is functionally or physically a part of, or connected to, or integrated within a larger piece of equipment or system designed and intended for transportation or use in an industrial, governmental, commercial, research and development, or medical setting, including, but not limited to, diagnostic, monitoring, or control products, medical products approved under the federal food, drug, and cosmetic act, 21 USC 301 to 399, equipment used for security, sensing, monitoring, antiterrorism, or emergency services purposes, or equipment designed and intended primarily for use by professional users.

(o) (h) "Department" means the department of environmental quality.environment, Great Lakes, and energy.

(i) "Electronic device takeback program" or "takeback program" means a computer takeback program or a video display device takeback program.

(p) "Eco fee" means an amount added under section 17309 to the purchase price of a new eco fee device sold in this state.

(q) "Eco fee device" or "EFD" means a monitor or television with a screen size of 7 inches or greater if measured diagonally.

(r) "Eco fee sharing methodology" means the methodology under the stewardship plan to distribute eco fee revenue to manufacturers and manufacturer groups.

(s) "Financial institution" means a state or nationally chartered bank or a state or federally chartered savings and loan association, savings bank, or credit union whose deposits are insured by an agency of the United States government and that maintains a principal office or branch office located in this state under the laws of this state or the United States.

(t) "Fund", unless the context implies a different meaning, means the electronic waste recycling fund created in section 17327.

(u) (j) "Manufacturer" , subject to subdivision (k), means any of the following:

(i) The person who owns the brand with which a covered computer is labeled.

(i) (ii) The person who owns or is licensed to use the brand with which a covered video display electronic device is labeled.

(ii) (iii) If the neither the brand owner does not do nor a licensee does business in the United States, the person on whose account a covered electronic device was imported into the United States.

(iii) (iv) A person who contractually assumes the responsibilities and obligations of a person described under subparagraph (i) , or (ii). , or (iii).

(k) Manufacturer does not include a person unless the person manufactured, sold, or imported more than 50 covered computers in 2000 or any subsequent calendar year or more than 50 covered video display devices in the previous calendar year.

(l) "Printer" means a printer or a multifunction or "all-in-one" device that in addition to printing performs 1 or more other operations such as copying, scanning, or faxing, that is designed to be placed on a desk or other work surface, and that may use any of various print technologies, such as laser and LED (electrographic), ink jet, dot matrix, thermal, or digital sublimation. Printer does not include a floor-standing printer, a printer with an optional floor stand, a point of sale (POS) receipt printer, a household printer such as a calculator with printing capabilities or a label maker, or a non-stand-alone printer that is embedded into a product other than a covered computer.

(v) "Manufacturer group" means 2 or more manufacturers that work jointly to meet the requirements of this part, as provided for under section 17311j(1).

(w) "Manufacturer plan" means the information submitted by a manufacturer or manufacturer group under section 17313d(1).

(x) "Market share" means the percentage per CED manufactured as determined under section 17313b.

(y) "Marketplace facilitator" means that term as defined in section 2d of the general sales tax act, 1933 PA 167, MCL 205.52d.

(z) "Marketplace seller" means that term as defined in section 2d of the general sales tax act, 1933 PA 167, MCL 205.52d.

(aa) "Personal digital assistant" means a handheld computer that functions as a personal organizer and also provides email and internet access.

(bb) "Printer", subject to subdivision (cc), means any of the following if marketed by the manufacturer for use by households or schools:

(i) A desktop printer, including, but not limited to, inkjet and laser printers that can be placed on a work surface.

(ii) A device that prints and has other functions, such as copying, scanning, or sending facsimiles, and that is designed to be placed on a work surface.

(cc) "Printer" does not include a calculator with printing capabilities, a label maker, or a photograph-only printer.

(dd) "Program" means or relates to the overall program created under this part or an entity's undertaking as part of that overall program.

(ee) "Program year" means the calendar year unless the department provides otherwise by rule.

(ff) (m) "Recycler" means a person who as a principal component of business operations that acquires covered electronic devices and sorts and processes the covered electronic devices to facilitate recycling or resource recovery techniques. Recycler does not include a collector, hauler, or electronics shop.

(gg) "Recycling" means the process of collecting and preparing covered electronic devices for use in manufacturing processes or for recovery of usable materials followed by delivery of such materials for use. Recycling does not include the destruction by incineration or other process or land disposal of recyclable materials nor reuse, repair, or any other process through which eco fee devices or covered electronic devices are returned to use for households in their original form. "Recycle" has a corresponding meaning.

(hh) (n) "Retailer" means a person that sells a covered electronic device to a consumer by any means, including transactions conducted through sales outlets, catalogs, mail order, or the internet, whether or not the person has a physical presence in this state.

(o) "Small business" means a business with 10 or fewer employees.

(p) "Video display device" means an electronic device with a viewable screen of 4 inches or larger that contains a tuner that locks on to a selected carrier frequency and is capable of receiving and displaying television or video programming via broadcast, cable, or satellite. Video display device includes, but is not limited to, a direct view or projection television whose display technology is based on cathode ray tube (CRT), plasma, liquid crystal (LCD), digital light processing (DLP), liquid crystal on silicon (LCOS), silicon crystal reflective display (SXRD), light emitting diode (LED), or similar technology.

(q) "Video display device takeback program" means a program required under section 17305(d).

(ii) "Return share" means the percentage, by weight, of all CEDs returned represented by each CED category returned to program collection sites and 1-day collection events operated by or on behalf of a manufacturer or a manufacturer group during the calendar year 2 years before the applicable program year, as reported to the department under section 17313f. However, for program year 1 and program year 2, return share shall be estimated by the manufacturer or manufacturer group based on returns during that program year, as reported to the department.

(jj) "Reuse" means the use of electronic waste that is tested and certified to be in good working order and that was removed from the waste stream for use for the same purpose for which it was manufactured, including the continued use of whole systems or components.

(kk) "School" means a public school or nonpublic school as those terms are defined in section 5 of the revised school code, 1976 PA 451, MCL 380.5.

(ll) "Stewardship plan" means a plan approved by the department under section 17311d.

(mm) "Television", subject to subdivision (nn), means an electronic device that meets all of the following requirements:

(i) Is used only in a residence.

(ii) Contains a cathode-ray tube or other display screen type.

(iii) Is intended to receive video programming via broadcast, cable, satellite, the internet, or another mode of video transmission, or to receive video from surveillance or other similar cameras.

(iv) Is marketed to and intended for use by residential and school purchasers.

(nn) "Television" does not include any of the following:

(i) A television that is part of a motor vehicle and that is incorporated into the motor vehicle by, or for, a motor vehicle manufacturer or a franchised motor vehicle dealer.

(ii) An electronic device that is functionally or physically part of a clothes washer, clothes dryer, refrigerator, freezer, refrigerator and freezer, microwave oven, conventional oven or range, dishwasher, room air conditioner, dehumidifier, water pump, sump pump, or air purifier.

(iii) Any eco fee device that is not marketed for use by households or schools, such as a display in equipment used only in a specific industrial or commercial setting.

Sec. 17303. (1) Within 30 days after the end of each state fiscal By January 30 each year, a manufacturer that markets and sells or offers for sale to any person in this state a new covered electronic device in this state shall register with the department on a form provided by the department. A registration expires the following January 30. days after the end of the state fiscal year in which the registration is required to be filed. A manufacturer who that has not already filed a registration under this part shall submit a registration within 10 business days after the manufacturer begins to sell or offer for sale market and sell new covered electronic devices in this state.

(2) A registration under subsection (1) shall include all of the following:

(a) The manufacturer's name, address, and telephone number.

(b) Each brand name under which the manufacturer sells or offers for sale markets covered electronic devices in this state.

(i) Information provided to consumers on how and where to return covered electronic devices labeled with the manufacturer's name or brand label.

(ii) The means by which information described in subparagraph (i) is disseminated to consumers, including the relevant website address if the internet is used.

(iii) Beginning with the first registration submitted after the implementation of the takeback program, a report on the implementation of the takeback program during the prior state fiscal year, including all of the following:

(A) The total weight of the covered electronic devices received by the takeback program from consumers during the prior state fiscal year.

(B) The processes and methods used to recycle or reuse the covered electronic devices received from consumers.

(C) The identity of any collector or recycler with whom the manufacturer contracts for the collection or recycling of covered electronic devices received from consumers. The identity of a recycler shall include the addresses of that recycler's recycling facilities in this state, if any. The identity of a collector or recycler reported under this subparagraph is exempt from disclosure under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed by the department unless required by court order.

(d) The total number of CEDs, excluding eco fee devices, from that manufacturer marketed and sold in this state for the most recently concluded program year. Sales data under this subdivision and subdivision (e) are exempt from disclosure under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed by the department unless required by court order.

(e) The total number of EFDs from that manufacturer marketed and sold in this state for the most recently concluded program year.

(f) Identification of the manufacturer group, if any, to which the manufacturer belongs.

(3) A registration under subsection (1) is effective upon receipt by the department, if the registration is administratively complete.

(4) If a manufacturer's registration does not meet the requirements of this section and any rules promulgated under this part, the department shall notify the manufacturer of the deficiency. If the manufacturer fails to correct the deficiency within 60 days after notice is sent by the department, the department may deny or revoke the manufacturer's registration, after providing an opportunity for a contested case hearing under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328.

(5) A manufacturer of covered electronic devices shall update its registration within 10 business days after a change in the brands of covered electronic devices from that manufacturer sold or offered for sale marketed in this state.

(6) Until October 1, 2023, a Subject to subsection (7), a manufacturer's registration shall be accompanied by an annual a fee of $3,000.00. However, if in the following amount as determined by the manufacturer's sales of CEDs in this state during the preceding calendar year:

(a) Not more than 100 CEDs, no fee.

(b) More than 100 but not more than 250 CEDs, $1,000.00.

(7) If the amount of money in the fund on December 31 of any year is greater than $600,000.00, $750,000.00, the department shall not collect manufacturers' registration fees for the following state fiscal calendar year.

(8) (7) Revenue from manufacturers' registration fees collected under this section shall be deposited in the electronic waste recycling fund created in section 17327.fund.

(9) (8) The department shall maintain on its publicly accessible website a

list of registered manufacturers of computers and a both of the following:

(a) A list of registered manufacturers of video display devices covered electronic devices, each registered manufacturer's brands, and the publicly accessible website addresses at which they provide each registered manufacturer provides information on recycling covered electronic devices.

(b) A list of unregistered manufacturers of CEDs and each unregistered manufacturer's brands. The department shall post the list not later than 90 days after the registration period under section 17303(1) ends. The department shall update the list not less than every 60 days thereafter until the end of that program year.

(9) Not later than October 1, 2011 and every 2 years after that date, the department shall submit a report to the secretary of the senate and to the clerk of the house of representatives that assesses the adequacy of the fees under this section and any departmental recommendation to modify those fees.

Sec. 17305. Beginning April 1, 2010, a manufacturer shall not sell or offer for sale market to any person in this state a new covered electronic device, whether through sales outlets, catalogs, mail order, the internet, or any other means, unless all both of the following requirements are met:

(a) The covered electronic device is labeled with the manufacturer's name or brand label, owned by or, in the case of a video display device, or licensed for use by the manufacturer.

(b) The manufacturer's name appears and the covered electronic device brand name appear on the applicable registration list of registered manufacturers and their registered brands maintained by the department under section 17303.

(c) If the covered electronic device is a covered computer, the manufacturer has a computer takeback program as described in section 17309.

(d) If the covered electronic device is a covered video display device, the manufacturer has a video display device takeback program as described in section 17311.

Sec. 17307. A retailer shall not sell or offer for sale market to any person in this state a new covered electronic device from a manufacturer , that was purchased by the retailer on or after April 1, 2010 unless the manufacturer appears and brand appear on the applicable registration list of registered manufacturers and their registered brands maintained by the department under section 17303.

Sec. 17309. (1) Beginning April 1, 2010, each manufacturer of covered computers shall implement a computer takeback program that meets all of the following criteria:

(a) The manufacturer of a covered computer that has reached the end of its useful life for the consumer or the manufacturer's designee accepts from the consumer the covered computer. This part shall not be construed to impair the obligation of a contract under which a person agrees to conduct a computer takeback program on behalf of a manufacturer.

(b) A consumer is not required to pay a separate fee when the consumer returns the covered computer to the manufacturer of that covered computer or the manufacturer's designee.

(c) The collection of covered computers is reasonably convenient and available to and otherwise designed to meet the needs of consumers in this state. Examples of collection methods that alone or combined meet the convenience requirements of this subdivision include systems for a consumer to return a covered computer by 1 or more of the following means:

(i) Mail or common carrier shipper.

(ii) Deposit at a local physical collection site that is kept open and staffed on a continuing basis.

(iii) Deposit during periodic local collection events.

(iv) Deposit with a retailer.

(d) The manufacturer of a covered computer provides a consumer information on how and where to return the covered computer, including, but not limited to, collection, recycling, and reuse information on the manufacturer's publicly available website. The manufacturer may also include collection, recycling, and reuse information in the packaging for or in other materials that accompany the manufacturer's covered computers when the covered computers are sold or provide that information via a toll-free telephone number.

(e) The manufacturer recycles or arranges for the recycling of any covered computers collected under subdivision (a).

(2) A manufacturer's computer takeback program is not required to accept more than 7 covered computers from a single consumer on a single day.

(3) A manufacturer may conduct a computer takeback program alone or in conjunction with other manufacturers. A manufacturer may arrange for the collection and recycling of covered computers by another person to fulfill the manufacturer's obligations under this section.

(1) Beginning January 1, 2024, an eco fee is imposed on each sale of a new eco fee device by a retailer to a purchaser in this state for consumer of school use. The eco fee shall be in the amount determined by the clearinghouse in the eco fee schedule approved by the department under section 17313d.

(2) The retailer shall charge the applicable eco fee at the time of sale of an EFD to a consumer or for school use. If a retail sale is facilitated by a marketplace facilitator, the marketplace facilitator shall charge the applicable eco fee to the purchaser on behalf of the marketplace seller and remit the fee to the marketplace seller.

(3) An eco fee shall be separately displayed on the receipt, invoice, contract, or other record documenting the sale of the EFD. The record must be visible to the purchaser when the EFD is sold to the purchaser. For a sale made via a website, catalog, telephone, or any similar forum, the eco fee shall be disclosed to the purchaser before the purchase is completed.

(4) A retailer shall not advertise, hold out, or state to the public or to any purchaser, directly or indirectly, any of the following with respect to an eco fee or any portion of an eco fee:

(a) That it will not be added to the purchase price of the EFD.

(b) That it will be paid by the retailer on behalf of the purchaser.

(c) That its economic incidence will be shifted from the purchaser to any other person by payment of money or other consideration to the purchaser.

(5) A retailer that collects an eco fee under subsection (1) may retain up to 3% of the fee as reimbursement for any costs associated with the collection of the fee. The retailer shall remit the remainder of the eco fee to the clearinghouse in a manner and form prescribed by the clearinghouse and by the time required under subsection (7).

(6) If a retailer or marketplace facilitator violates subsection (2), the retailer or marketplace facilitator is liable for the full amount of the applicable eco fee and any applicable penalties under this part. However, if a marketplace facilitator demonstrates to the clearinghouse's satisfaction that the marketplace facilitator's failure to charge the eco fee was the result of incorrect information given to the marketplace facilitator by the marketplace seller, the marketplace seller is solely liable for payment of the eco fee and any penalties under this part.

(7) A retailer shall remit eco fee revenue to the clearinghouse within 60 days after the completion of each assessment period during which an EFD has been sold by a retailer to a purchaser in this state. The amount due is the amount of the eco fees collected less the sum of the following:

(a) Reimbursements allowed under subsection (5).

(b) Any eco fees refunded to purchasers for EFDs returned to the retailer in that assessment period for which an eco fee has already been collected for remittance to the clearinghouse.

(8) The amount due under subsection (7) is a debt owed to the clearinghouse by the retailer.

(9) A retailer shall not sell or market in this state a new CED after the program year begins unless all of the following apply:

(a) The retailer registers with the department under subsection (12) and participates in the clearinghouse.

(b) The brand of the CED is included on the list of registered manufacturers and their registered brands maintained by the department under section 17303.

(10) A retailer shall cease sale of a manufacturer's CEDs within 7 days after receipt of notice from the clearinghouse or department that a manufacturer has failed to comply with the requirements of this section. The retailer may recommence the sale only upon written confirmation from the clearinghouse or department that the manufacturer has remedied any noncompliance.

(11) Beginning 1 year after the effective date of this section, a retailer shall consult the list of registered manufacturers and their registered brands under section 17303 before selling new CEDs in this state. With respect to the sale of a CED through a marketplace facilitator, the marketplace seller shall consult the registry before advertising, listing, or selling new CEDs in this state through a marketplace facilitator. A retailer shall be considered to have complied with this subsection if, on the date that the new CED was ordered by the retailer, the brand was included on the list of registered manufacturers and their registered brands under section 17303.

(12) A retailer shall register with the clearinghouse and receive a remitter identification number from the clearinghouse before collecting any eco fee or remitting any eco fee to the clearinghouse.

(13) The clearinghouse may, at its discretion, conduct an audit of a registered retailer to verify that the eco fees collected and remitted to the clearinghouse are proper and accurate. An audit under this subsection shall be limited to the 3-year period preceding the date the audit is requested by the clearinghouse. Unless a retailer has previously been found in violation of this part for remittance of an eco fee, an audit may be conducted in person or via the internet and email at the discretion of the retailer. If a retailer has previously violated this part, the audit must be conducted in person. The retailer shall make the following records available for inspection by the auditors:

(a) Receipts of sales at retail.

(b) Invoices.

(14) If the department determines that televisions and monitors that contain cathode ray tubes or cold cathode fluorescent lamps constitute less than 10% of the total weight of covered electronic devices collected during a program year, beginning 180 days after that determination, retailers and marketplace distributors shall no longer charge eco fees, but manufacturers shall continue to meet the requirements of this part.

Sec. 17311. (1) Beginning April 1, 2010, each manufacturer of covered video display devices shall implement a video display device takeback program that meets all of the following criteria:

(a) A manufacturer or the manufacturer's designee accepts from a consumer any covered video display device that has reached the end of its useful life for the consumer, regardless of the type or brand of covered video display device.

(b) A consumer is not required to pay a separate fee when the consumer returns a covered video display device through the takeback program of any manufacturer of any covered video display device.

(d) The manufacturer provides a consumer information on how and where to return a covered video display device, including, but not limited to, collection, recycling, and reuse information on the manufacturer's publicly available website. The manufacturer may also include collection, recycling, and reuse information in the packaging for or in other materials that accompany the manufacturer's covered video display devices when the covered video display devices are sold or provide that information via a toll-free telephone number.

(e) The manufacturer recycles or arranges for the recycling of any covered video display device collected under subdivision (a). As a nonbinding target, each manufacturer required to conduct a video display device takeback program should annually recycle 60% of the total weight of covered video display devices sold by the manufacturer in this state during the prior state fiscal year. Sales data under this subdivision are exempt from disclosure under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed by the department unless required by court order.

(2) A manufacturer's video display device takeback program is not required to accept more than 7 covered video display devices from a single consumer on a single day.

(3) A manufacturer may conduct a video display device takeback program alone or in conjunction with other manufacturers. A manufacturer may arrange for the collection and recycling of covered video display devices by another person to fulfill the manufacturer's obligations under this section.

(1) To the extent possible, eco fees shall be uniform for each category of eco fee device and, subject to subsection (2), consistent with the eco fee amounts assessed in other jurisdictions in the United States for similar devices.

(2) The eco fees shall be sufficient to cover both of the following:

(a) Costs associated with the collection, transportation, and recycling of EFDs for all manufacturers and manufacturer groups.

(b) All other expenditures authorized by section 17311b and approved as part of the stewardship plan.

(3) At least 120 days before the beginning of a program year starting 2 years or more after the start of the program year for which eco fees were most recently established or adjusted, the clearinghouse may submit to the department a recommendation regarding adjustment of the amount of eco fees.

(4) Within 60 days after the clearinghouse submits to the department a proposal to adjust eco fees, the department shall approve or deny the proposal. The department shall approve the proposal if the adjusted eco fees meet the requirements of this part.

Sec. 17311b. (1) The department shall designate a clearinghouse. The clearinghouse must meet all of the following requirements:

(a) Be incorporated as a nonprofit organization.

(b) Not control and not be controlled by or under common control with any single manufacturer, retailer, collector, or industry-wide trade association.

(d) Represent at least 50% of the total collection and recycling obligation under this part of all manufacturers for the first program year.

(e) Be governed by a board of directors, a majority of which represent manufacturers.

(f) Have a state advisory group composed of 2 representatives from each state in which the clearinghouse operates.

(g) Have a board that meets with the state advisory group at least twice a year.

(2) The first clearinghouse shall be designated within 60 days after the effective date of this section. Designation as the clearinghouse shall be valid for not less than 5 years and may be renewed by the department for additional periods of not more than 5 years each.

(3) The clearinghouse shall do all of the following:

(a) Review and compile manufacturer plans for submission to the department for review and approval or disapproval under section 17313d.

(b) Establish an eco fee for each category of EFDs in its proposed stewardship plan.

(d) Deposit the eco fee revenue in an account at a financial institution.

(e) Disburse eco fee revenue only as provided in this section.

(4) Pursuant to the eco fee sharing methodology, the clearinghouse shall disburse eco fee revenue each program year to manufacturers and manufacturer groups participating in the stewardship plan.

(5) If a manufacturer or manufacturer group fails to meet its collection obligation, all of the following apply:

(a) Unless otherwise directed by the department, the clearinghouse may withhold eco fee revenue from the manufacturer or manufacturer group.

(b) The clearinghouse may disburse eco fee revenue withheld under subdivision (a) to reimburse a different manufacturer or manufacturer group for providing collection-related services to resolve the collection obligation deficiencies for which the revenue was withheld.

(c) Any amount expended pursuant to subdivision (b) shall be deducted from any eco fee revenue owed to the manufacturer or manufacturer group from which the eco fee revenue was withheld.

(6) The clearinghouse shall disburse a portion of eco fee revenue as a per pound collection incentive payment to collectors that are approved under the stewardship plan for activities associated with collection, handling, and consolidation of CEDs. A collector may arrange for a consolidator to receive all or a portion of the collection incentive payment for performing the collection, handling, or consolidation services on behalf of the collector.

(7) The clearinghouse may expend eco fee revenue on public education intended to encourage the collection and recycling of EFDs or CEDs.

(8) The clearinghouse may maintain in the financial institution account under subsection (3) a reserve not to exceed 25% of the estimated annual eco fee revenue budgeted under subsection (10).

(9) The clearinghouse may recover from eco fee revenue its annual operating expenses of administering the eco fees and performing its other duties under this part. The clearinghouse shall include these expenses in the total program costs to be covered by the eco fees.

(10) The clearinghouse shall prepare and submit to the department for approval a budget for each program year. The budget shall contain estimates of each of the following for the program year:

(a) The number of CEDs to be collected.

(b) The number of EFDs to be collected.

(d) The amount of eco fee revenue to be remitted to the clearinghouse during the program year.

(11) Beginning 180 days after the effective date of this section, the clearinghouse shall maintain and post on the clearinghouse's publicly accessible website both of the following:

(a) A list of registered manufacturers and their registered brands of EFDs.

(b) A list of the brands of EFDs for which, to the best of the knowledge of the clearinghouse, no manufacturer has registered.

(12) Within 90 days after the department designates a clearinghouse and within 90 days after the department, under section 17313d, approves a stewardship plan other than the initial stewardship plan, all manufacturers and manufacturer groups that have received department approval of a stewardship plan shall enter into a fee-sharing agreement with the clearinghouse. The clearinghouse shall notify the department of each fee-sharing agreement within 30 days after entering into the agreement.

(13) If manufacturers and manufacturer groups cannot timely reach a fee-sharing agreement with the clearinghouse, the clearinghouse shall submit a proposed fee-sharing arrangement to the department for approval. The department shall approve the fee-sharing agreement within 60 days. Upon approval, the fee-sharing arrangement is binding on the clearinghouse and the relevant manufacturer or manufacturer group for the relevant program period.

(14) The clearinghouse shall keep minutes, books, and records that clearly reflect the activities and transactions of the clearinghouse.

(15) At least once each calendar year, the clearinghouse shall obtain at the clearinghouse's expense an audit of the accounting books of the clearinghouse by an independent certified public accountant. The clearinghouse shall arrange for the audit report to be delivered to the department, along with the annual report of the clearinghouse under section 17313j(2). The department shall review the audit for compliance with this part. The department shall notify the clearinghouse of any compliance issues or inconsistencies. Any proprietary information in the audit is exempt from disclosure under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed by the clearinghouse or department except as provided by court order.

(16) The clearinghouse may do either of the following:

(a) Enter into an agreement for the delegation or joint exercise of the powers or duties of the clearinghouse under this part.

(b) Conduct audits of retailers, program collection sites, downstream processors, recyclers, manufacturers, and manufacturer groups pursuant to this part.

Sec. 17311d. (1) A manufacturer group or a manufacturer member shall submit to the clearinghouse, on a form provided by the clearinghouse, information on collection and recycling programs. The clearinghouse shall compile these manufacturer plans from all manufacturer groups and individual manufacturers into a proposed stewardship plan. The clearinghouse or any individual manufacturer shall annually submit a proposed stewardship plan to the department for approval. The department shall review the proposed manufacturer plans and determine whether the collection convenience standard will be met by all registered manufacturers in the aggregate, and whether all registered manufacturers or manufacturer groups will meet their collection obligation. If the department determines that the collection convenience standard will not be met, the department shall do all of the following:

(a) Work with the clearinghouse to determine any geographic areas where the collection convenience standard will not be met and identify opportunities for manufacturers and manufacturer groups to ensure that the collection convenience standard is met.

(b) Notify all manufacturers and manufacturer groups of the determination. The notice shall include the specific geographic areas for which the department believes additional collection sites or events are needed and the number needed.

(2) If manufacturers and manufacturer groups are unable to ensure under subsection (1) that the collection convenience standard is met, the clearinghouse may assign the area to a manufacturer or manufacturer group at the discretion of the clearinghouse.

(3) Not less than 15 days before submitting a proposed stewardship plan to the department, the clearinghouse shall submit a copy of the proposed stewardship plan to the advisory committee. The advisory committee shall submit comments and recommendations to the clearinghouse and to the department based on the advisory committee's review under this section.

(4) A stewardship plan shall, at a minimum, include the following information:

(a) An executive summary.

(b) Copies of all individual manufacturer plans submitted to the clearinghouse.

(c) An estimate of the total program year costs for upcoming program year, including the cost of the services of the clearinghouse that demonstrates that registered manufacturers are responsible for the full cost of the collection of CEDs in this state and the transportation and recycling of those CEDs collected as part of the program.

(d) A schedule of the eco fee amount for each category of EFD sold in the state, not to exceed $10.00.

(e) A methodology to distribute eco fee revenue to manufacturers and manufacturer groups to cover the costs of collection, transportation, and recycling of CEDs in compliance with this part.

(f) A description of the promotion and outreach activities that will be used to encourage participation in the collection and recycling programs and how the effectiveness of the activities will be evaluated.

(g) A description of materials that will be provided to retailers to inform purchasers of the program, including the eco fees.

(h) A description of the methods by which CEDs will be collected in all areas of this state according to the collection convenience standard, including an explanation of how the collection system will be convenient and adequate for residents in both urban and rural areas on an ongoing basis.

(i) A discussion of the status of end markets for CEDs and what, if any, additional end markets are needed to improve the functioning of the program.

(j) A list of companies utilized to collect, consolidate, and recycle CEDs.

(k) A list of areas that the clearinghouse assigned to a manufacturer or manufacturer group under subsection (2).

(l) A discussion of actions that the manufacturer groups or individual manufacturers are taking under their manufacturer plans to reduce the generation of greenhouse gases and reduce impacts on the environment by their program.

(m) The clearinghouse's documented annual operating expenses of administering the eco fees and otherwise performing its duties under this part.

(5) On an annual basis, by 90 days after the close of the program year, the clearinghouse and any manufacturer or manufacturer group with a stewardship plan shall submit to the department a stewardship report. The stewardship report shall summarize the accomplishments of the clearinghouse or the individual manufacturer stewardship plans. A stewardship report must include, but is not limited to, all of the following:

(a) The weight of CEDs received by the respective program from consumers within metropolitan statistical areas, the weight of CEDs received by the program from consumers outside of metropolitan statistical areas, and the total weight of CEDs received by the program.

(b) How the program served consumers in rural areas of this state.

(d) Collection locations and the identity of any collector or recycler under contract for the collection or recycling of CEDs received from consumers, including contact information for the collector's or recycler's facilities in this state, if any. Information reported under this subdivision is exempt from disclosure under the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246, and shall not be disclosed by the department except as required by court order.

(e) Problems encountered during the program year and recommended changes to the program for the upcoming program year.

Sec. 17311f. (1) Beginning with program year 2024, any of the following may function as a collector after submitting a written notice to the clearinghouse:

(a) A county.

(b) A municipality with a population greater than 10,000.

(d) A solid waste management authority.

(e) A regional planning agency.

(f) A conservation district.

(2) A written notice under subsection (1) shall be on a form provided by the clearinghouse. The notice shall include each proposed collection site and a description of the collection operations. Preference shall be given to collection sites operated by experienced collectors that have previous experience with the collection of covered electronic devices.

(3) Beginning in 2024, each manufacturer program for a program year must include, at a minimum, the number of program collection sites assigned to the manufacturer by the clearinghouse as part of the manufacturer's recycling obligation, based upon the following collection convenience standard:

(a) For each county with a government entity that has elected to participate in the manufacturer's program as a collector under subsection (1), the following number of collection sites based on the population density per square mile of the entire county:

(i) 1, for a density of less than 250.

(ii) 2, for a density of 250 or more but less than 500.

(iii) 3, for a density of 500 or more but less than 750.

(iv) 4, for a density of 750 or more but less than 1,000.

(v) 5, for a density of 1,000 or more but less than 5,000.

(vi) 15, for a density of 5,000 or more.

(b) If a municipality with a population of more than 500,000 elects to participate in a manufacturer's program for a program year, the program shall provide 5 additional collection sites for the program year to be located in that municipality, and the collection sites required under subdivision (a)(vi) shall be located outside of the municipality.

(4) A collection site operated by a local government, vendor, charity, or other entity is eligible for consideration as a program collection site.

(5) For counties with a population density less than 500 per square mile, collection events may be held in lieu of maintaining permanent program collection sites if the events are efficient and effective at providing collection opportunities for the residents of those areas.

(6) Notwithstanding subsection (3), if the operator of a program collection site elects to register with the clearinghouse, the operator may enter into a written agreement with a manufacturer or manufacturer group to do any of the following:

(a) Increase or decrease the number of program collection sites in the county or municipality for the program year.

(b) Substitute a program collection site in the county or municipality with 1 or more 1-day adequately supported collection events.

(c) Substitute the location of a program collection site in the county or municipality for the program year with another location.

(d) Substitute the location of a 1-day collection event in the county or municipality with another location.

(7) The manufacturer or manufacturer group shall submit changes in the number or location of program collection sites under subsection (6) to the department in writing and post the changes on the individual manufacturer's or manufacturer group's website.

(8) The department and the clearinghouse shall host 1 or more annual promotional meetings to educate potential program participants about the benefits of the program and how to participate.

Sec. 17311h. The clearinghouse shall allocate to each registered manufacturer or its manufacturer group the manufacturer's obligation to arrange for pickup, transportation, and recycling of CEDs from program collection sites. When allocating obligations under this section, the clearinghouse shall do all of the following:

(a) Allocate to each current EFD manufacturer its recycling obligation per EFD type and require the EFD manufacturer or its manufacturer group to pick up each EFD type that the manufacturer currently markets and sells in this state.

(b) Allocate to each current CED manufacturer its recycling obligation per CED category, excluding EFDs, and require the manufacturer or its manufacturer group to pick up each CED category, excluding EFDs that the manufacturer currently markets and sells in this state.

(c) Take into account collection site relationships already in existence between collectors and manufacturers or manufacturer groups.

(d) Take into account both urban and rural areas in the allocation of program collection sites to manufacturers.

(e) To the extent practical, assign collection obligations so as to enable each manufacturer to collect a volume of CEDs equivalent to its market share.

Sec. 17311j. (1) Two or more manufacturers may enter into an agreement to form a manufacturer group to fulfill the manufacturers' obligations under this part. The manufacturer group shall act as the representative of the manufacturers with which it has entered such an agreement.

(2) A manufacturer group shall receive eco fee revenue disbursements from the clearinghouse on behalf of the member manufacturers.

(3) A manufacturer group is solely responsible for disbursing eco fee revenue to member manufacturers pursuant to the agreement under subsection (1). If an individual manufacturer is a member of a manufacturer group, the clearinghouse is not liable to the individual manufacturer, to the extent the clearinghouse timely disburses the correct amount of eco fee revenue to the manufacturer group.

(4) A manufacturer group may contract for service in geographic areas not served by programs of member manufacturers to fulfill the obligations of member manufacturers for the areas.

(5) The clearinghouse may conduct an audit of a manufacturer or manufacturer group to ensure that it has implemented programs in accordance with the stewardship plan and is meeting its collection obligation in each program year. An audit shall meet all of the following requirements:

(a) Be conducted by independent third-party auditors in compliance with generally accepted auditing practices.

(b) Be limited in scope to determining whether eco fees have been properly collected on all sales of CEDs of the manufacturer or manufacturer group to purchasers in this state during the 3-year period preceding the date on which the clearinghouse notifies the manufacturer of manufacturer group of the audit.

Sec. 17313. (1) The electronic waste advisory council is created within the legislative branch of state government. department's material management division. The council shall consist of the following members:

(a) Four individuals appointed by the senate majority leader as follows:

(i) One individual representing covered video display eco fee device manufacturers.

(ii) One individual representing recyclers of covered computers or covered video display eco fee devices.

(iii) One individual representing a trade association of computer manufacturers and video display eco fee device manufacturers.

(iv) One individual who is a member of the senate.

(b) Four individuals appointed by the speaker of the house of representatives as follows:

(i) One individual representing covered computer manufacturers.

(ii) One individual representing retailers of covered computers or covered video display eco fee devices.

(iii) One individual representing an agency responsible for a countywide recycling program.initiative.

(iv) One individual who is a member of the house of representatives.

(i) One individual representing a statewide conservation organization.

(ii) One individual representing the department.

(2) The appointments to the council under subsection (1) shall be made not later than 30 days after the effective date of the amendatory act that added this section 17311j.

(3) A member of the council shall serve for the life of the council. If a vacancy occurs on the council, the vacancy shall be filled for the unexpired term in the same manner as the original appointment. The appointing official may remove a member of the council for incompetence, dereliction of duty, malfeasance, misfeasance, or nonfeasance in office, or any other good cause.

(4) The council member who is a member of the senate and the council member who is a member of the house of representatives shall serve as co-chairs of the council. The first meeting of the council shall be called by the co-chairs and occur not more than 90 days after the effective date of the amendatory act that added section 17311j. At the first meeting, the council shall elect from among its members any other officers that it considers necessary or appropriate. After the first meeting, the council shall meet at least quarterly, or more frequently at the call of a co-chair or if requested by 2 or more members.

(5) A majority of the members of the council constitute a quorum for the transaction of business at a meeting of the council. A vote in favor by a majority of the members present and serving are is required for official any action of the council.

(6) The council shall conduct its business that the council may perform shall be conducted at a public meeting of the council held in compliance with the open meetings act, 1976 PA 267, MCL 15.261 to 15.275. A writing that is prepared, owned, used, in the possession of, or retained by the council in the performance of an official function is subject to the freedom of information act, 1976 PA 442, MCL 15.231 to 15.246.

(7) Members of the council shall serve without compensation. However, the member of the council representing the department shall serve without additional compensation.

(8) Within 2 years after the effective date of the amendatory act that added section 17311j, the council shall submit a report to the governor and the legislature recommending whether CEDs should be added to the items specified in section 11514(2), (3), or (4).

(9) This section is repealed 90 days after the report is due under subsection (8).

(8) By April 1, 2012, the council shall submit a report to the governor, the department, and the standing committees of the legislature with jurisdiction over issues primarily pertaining to natural resources and the environment. The report shall evaluate the program under this part and make recommendations to improve the recycling of covered electronic devices. The report shall evaluate all of the following in light of the policies and objectives set forth in section 11514:

(a) Whether a manufacturer's market share should be used to determine the amount of video display devices required to be recycled annually by the manufacturer.

(b) Whether a manufacturer with a takeback program that recycles electronic waste at a higher rate than provided for in this part should be granted credits and, if so, the life of the credits, whether the credits would be transferable, and how the credit system should otherwise operate.

(c) Whether the nonbinding target for manufacturers recycling covered video display devices under section 17311 should be increased or decreased and whether the target should be made mandatory.

(d) What items should be included in a mandatory takeback program and, if new items are recommended, what the recycling rates should be for those new items.

(e) Whether and how a manufacturer should be sanctioned for failing to meet the requirements of this part.

(f) Whether funding for the administration of this part is appropriate or needs to be increased or decreased.

(g) Whether a program should be developed to recognize manufacturers that implement an expanded recycling program for additional products such as printers or recycles electronic waste at a higher rate than provided for in this part.

(h) Whether a system should be developed to collect covered electronic devices that are otherwise not collected by a manufacturer.

(i) Whether additional recycling data, such as the amount of covered electronic devices collected by collectors, should be collected and, if so, how.

(j) Whether a program should be developed and funding should be obtained for grants to expand recycling and recovery programs for covered electronic devices and to provide consumer education related to the programs.

(k) Whether a disposal ban for covered electronic devices is appropriate.

(9) The council is dissolved effective July 1, 2012.

Sec. 17313b. (1) By 2024, the department shall determine a manufacturer's recycling share by EFD type as delineated by the department and by CED category using the formula R = A/T(S) to which the following apply:

(a) R = recycling share for the given device type assigned to the manufacturer.

(b) A = pounds of each CED marketed and sold by a manufacturer.

(d) S = return share of CEDs, which means the percentage, by weight, of the CEDs collected by the manufacturer divided by the weight of all CEDs collected by all manufacturers, as determined by the clearinghouse using the actual weight collected at program collection sites in the preceding year.

(2) In calculating the recycling shares of manufacturers, the department shall reduce market shares if any of the manufacturer's CEDs sold into this state and reported to the department in the preceding program year under section 17313f are determined to contain a minimum of 10% postconsumer recycled content. The determination shall be made by an independent third-party accreditation firm appearing on a list of such firms to be prepared by the clearinghouse. In the formula, the department shall reduce the number of pounds of CEDs marketed and sold by a manufacturer by the equivalent weight of the postconsumer recycled content, but not by more than 50%. To receive a reduction under this subsection, the manufacturer must submit to the department with the manufacturer's registration under section 17303 documentation that verifies the manufacturer has achieved and maintained third-party accreditation.

Sec. 17313d. (1) At least 90 days before the beginning of a program year, each manufacturer acting individually or through a manufacturer group shall submit to the clearinghouse a manufacturer plan on the form agreed to by the clearinghouse and the department. A manufacturer or manufacturer group may also submit a proposed new manufacturer plan to the clearinghouse before the completion of the current program period with the consent of the department.

(2) A manufacturer plan shall contain the following information:

(a) Contact information for the individual and the entity submitting the manufacturer plan, a list of all CED manufacturers or brand owners participating in the program, and the brands covered by the manufacturer plan.

(b) If the manufacturer markets and sells EFDs in this state, all of the following:

(i) The types of EFDs marketed and sold in this state.

(ii) The manufacturer's acknowledgement of its obligation to collect and recycle EFDs of a similar type to those identified under subparagraph (i).

(c) If the manufacturer does not market and sell EFDs in this state, but intends to voluntarily collect and recycle EFDs, the types of EFDs the manufacturer intends to voluntarily collect and recycle.

(d) If a manufacturer is required to identify types of EFDs under subdivision (b) or (c), both of the following:

(i) A description of the methods by which the identified types of EFDs will be collected in all areas in this state, in compliance with the collection convenience standard.

(ii) An explanation of how the collection system will be convenient and adequate for residents in both urban and rural areas on an ongoing basis.

(e) The names and locations of program collection sites, consolidators, and recyclers that will manage the collected material.

(f) A description of how components will be safely and securely transported, tracked, and handled from collection through final recycling and processing.

(g) A description of the methods that will be used to recycle CEDs.

(h) Evidence of adequate insurance and financial assurance that may be required by collectors, consolidators, or recyclers for collection, handling, and disposal operations.

(i) The number of the recyclers and consolidators that will be used by the manufacturer or manufacturer group that are Michigan-based companies.

(j) Five-year performance goals, including an estimate of the percentage of CEDs and EFDs that will be collected during each of the first 5 years of the program.

(k) A commitment to the reuse and refurbishing of CEDs in preference to recycling and disposal of CEDs.

(3) The clearinghouse shall aggregate manufacturer plans and submit them in a proposed stewardship plan to the department for review and approval at least 60 days before the beginning of the program year.

(4) Within 45 days after receipt of a proposed stewardship plan under subsection (3), the department shall review and approve or reject the proposed stewardship plan and provide notice under subsection (5). The department shall approve the proposed stewardship plan if it meets the requirements of subsection (2).

(5) If the department approves the proposed stewardship plan, the department shall notify the clearinghouse and the registered CED manufacturers. If the department rejects the proposed stewardship plan, in whole or in part, the department shall notify the clearinghouse and provide the reasons for the rejection. Within 30 days after receipt of the department's rejection, the manufacturers or manufacturer groups may revise the proposed stewardship plan and resubmit it to the clearinghouse. Within 30 days after receipt of the revised proposed stewardship plan, the clearinghouse shall submit it to the department for processing under subsection (4) and this subsection.

(6) Manufacturers or manufacturer groups operating under the stewardship plan shall do all of the following:

(a) Ensure availability of collection and recycling infrastructure in all areas of this state.

(b) Track and measure collection and recycling.

(d) Develop best management practices for program collection sites.

(e) Document that the program covers the cost of the collection and recycling of the covered devices that are managed under the stewardship plan.

(f) Indicate the steps or actions that the program will take to reduce the generation of greenhouse gases and reduce the program's impacts on the environment.

(7) With the consent of the department, a manufacturer or manufacturer group operating under the stewardship plan may submit changes to the clearinghouse before the completion of the current program period. The clearinghouse shall revise and submit the stewardship plan to the department for review and approval.

Sec. 17313f. (1) Each collector shall register with the department on a form provided by the department. The registration form provided by the department shall require the collector to provide the address of each location at which the collector accepts CEDs. A collector shall submit an initial collector registration within 90 days after the effective date of the amendatory act that added this section and subsequent registrations by January 1 of each program year.

(2) The department shall grant a collector's registration after the application has been determined to be administratively complete. However, the department shall deny the registration if the collector, or any employee or officer of the collector, has a history of any of the following:

(a) Repeated violations of federal, state, or local laws related to the collection, recycling, or other management of CEDs.

(b) Conviction in this state or another state of any crime that is a felony under the laws of this state.

(d) Conviction in this state, another state, or a federal court of forgery, official misconduct, bribery, perjury, or knowingly providing false information under any environmental law.

(e) Gross carelessness or incompetence in handling, storing, processing, transporting, disposing of, or otherwise managing CEDs.

(3) The department shall submit to the clearinghouse and post on its publicly accessible website a list of all registered collectors, including registered manufacturers and recyclers acting as collectors. Manufacturers and recyclers acting as collectors shall so indicate on their registration with the department.

(4) By March 1 of each program year, each collector that operates a program collection site or 1-day collection event shall report, to the department and to the individual manufacturer or manufacturer group, the total weight, by CED category, of CEDs transported from program collection sites or 1-day collection events during the preceding program year.

(5) Subject to subsection (11)(a), CEDs shall be accepted at a program collection site or 1-day collection event.

(6) CEDs shall be managed by collectors as follows:

(a) Kept separate from other material.

(b) Packaged in a manner to prevent breakage.

(d) On average, per program collection site, weigh 18,000 pounds per shipment. This subdivision does not apply to CEDs collected during 1-day or 2-day collection events.

(7) If a collector violates subsection (6)(d), the recycler may charge the collector a prorated charge on the shortfall in weight, not to exceed $600.00.

(8) A collector shall sort CEDs into the following categories:

(a) Computer monitors and televisions containing a CRT.

(b) Computer monitors and televisions containing a flat panel or other type of non-CRT display.

(d) Printers, scanners, and facsimile machines.

(e) All other CEDs.

(f) An electronic device that is not part of the individual manufacturer or manufacturer group plan, that the collector has arranged to have picked up with CEDs, and for which a financial arrangement has been made to cover the recycling costs outside of the manufacturer's or manufacturer group's program.

(9) Containers holding the CEDs must be structurally sound for transportation and meet any applicable requirements of the United States Department of Transportation and the state transportation department.

(10) Each shipment of CEDs from a program collection site or 1-day collection event shall include a collector-prepared bill of lading or similar manifest that describes the origin of the shipment and the number of pallets or bulk containers of CEDs in the shipment.

(11) A collector that operates a program collection site or 1-day collection event during a program year shall not do any of the following:

(a) Refuse to accept any CED that is delivered to the program collection site or 1-day collection event during the program year. However, the collector is not required to accept, at the program collection site or 1-day collection event, more than 7 CEDs from a person at 1 time.

(b) Charge a fee to a consumer to collect or recycle a CED unless a financial incentive, such as a coupon or rebate, of equal or greater value is provided to the consumer.

(c) Scrap, salvage, dismantle, or otherwise disassemble any CED collected at a program collection site or 1-day collection event unless approved by a manufacturer group or manufacturer.

(d) Deliver to a manufacturer or manufacturer group, through its recycler, any CED other than a CED collected at a program collection site or 1-day collection event.

(e) Deliver to a person other than the manufacturer or manufacturer group a CED collected at a program collection site or 1-day collection event.

(f) Charge fees to a manufacturer or manufacturer group or its contracted transportation or recycler vendors.

(12) This part does not prohibit a person from acting as a collector independent of a manufacturer or manufacturer group.

(13) The department and the clearinghouse shall collaborate to educate collectors about compliance with best practices and effective means to reduce their operating costs under this part.

Sec. 17313h. (1) The department shall administer and enforce this part.

(2) The department may during normal business hours inspect the operations of a collector to assess compliance with this part.

Sec. 17313j. (1) By March 1, 2025, and each year thereafter, each manufacturer group or individual manufacturer shall prepare and submit to the clearinghouse and post on its publicly accessible website a report that includes all of the following:

(a) The total weight of CEDs collected by the individual manufacturer or manufacturer group under the stewardship plan.

(b) The total weight of each type of CED as identified in section 17313f(8) collected at each collection site serviced.

(c) The percent of the total weight collected from Michigan locations that was recycled by Michigan-based registered recyclers.

(d) Recommendations, if any, for changes to the list of CEDs.

(2) By March 1, 2025, and each year thereafter, the clearinghouse shall prepare and submit to the department and post on the clearinghouse's publicly accessible website a report that includes both of the following:

(a) With respect to the preceding program year, all of the following:

(i) The total sum of eco fees that were required to be remitted to the clearinghouse by retailers, including any amounts not remitted.

(ii) The total amount of eco fee revenue disbursed to manufacturers or manufacturer groups.

(iii) The total weight of CEDs collected under the stewardship plan.

(iv) The total weight of each type of CED as identified in section 17313f(8) collected at each site serviced.

(b) Recommendations, if any, for changes to the list of CEDs or CED categories.

(3) By March 1, 2025, and each year thereafter, the department shall prepare and post on its publicly accessible website a report that includes all of the following:

(a) The total weight of CEDs collected under this part during the preceding program year.

(b) The total weight of EFDs collected under this part during the preceding program year.

(c) A list of all of the individual manufacturers and manufacturer groups that marketed and sold CEDs in this state during the preceding program year.

(d) The total weight of each type of CED as identified in section 17313f(8) collected in the program.

(e) Recommendations, if any, for changes to the lists of CEDs, CED categories, or EFDs.

(f) An assessment of the adequacy of the fees under section 17303 and any recommendation to modify those fees.

(g) An assessment of the adequacy of the fees under section 17317 and any recommendation to modify those fees. The information required under this subdivision need be included only in reports issued in odd-numbered years.

(h) Any recommendations to modify other portions of the program.

(i) The actions that the manufacturer groups or individual manufacturers took to reduce the generation of greenhouse gases and other negative impacts on the environment.

Sec. 17317. (1) Within 30 days after the end of each state fiscal calendar year, a person who engages in the business of recycling covered electronic devices collected in this state shall register with the department on a form provided by the department. A The registration expires 30 days after the end of the state fiscal calendar year. in which the registration is required to be filed. A recycler who has not already filed a registration under this part shall submit a registration within 10 business days after the recycler begins to recycle covered electronic devices.

(2) A registration under subsection (1) shall include all of the following:

(a) The name, address, telephone number, and location of all recycling facilities that are under the direct control of the recycler, are located in this state, and may receive covered electronic devices.

(b) A certification by the recycler that the recycler substantially meets the requirements of section 17315.

(3) A recycler of covered electronic devices shall report the total weight of covered electronic devices recycled during the previous preceding state fiscal calendar year. The recycler shall keep a written log that records the weight of covered video display eco fee devices and the total weight of covered computers delivered to the recycler and identified as such on receipt. The total weight reported in the registration shall be based on this log.

(4) A recycler's registration is effective upon receipt by the department if the registration is administratively complete.

(5) If a recycler's registration does not meet the requirements of this section and any rules promulgated under this part, the department shall notify the recycler of the deficiency. If the recycler fails to correct the deficiency within 60 days after notice is sent by the department, the department may deny or revoke the recycler's registration, after providing an opportunity for a contested case hearing under the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328. However, the department shall deny the registration if the recycler, or any employee or officer of the recycler, has a history of any of the following:

(a) Repeated violations of federal, state, or local laws related to the collection, recycling, or other management of CEDs.

(b) Conviction in this state or another state of any crime that is a felony under the laws of this state.

(d) Conviction in this state, another state, or a federal court of forgery, official misconduct, bribery, perjury, or knowingly providing false information under any environmental law.

(e) Gross carelessness or incompetence in handling, storing, processing, transporting, disposing of, or otherwise managing CEDs.

(6) Until October 1, 2023, January 1, 2030, a recycler's registration under subsection (1) shall be accompanied by an annual fee of $2,000.00.$500.00. However, if the recycler is certified under a standard described in section 17319(c), the fee is $250.00.

(7) Revenue from recyclers' registration fees collected under this section shall be deposited in the electronic waste recycling fund created in section 17327.fund.

(8) Submitting a false registration under subsection (1) is a violation of this part.

Sec. 17319. A recycler shall comply with all of the following:

(a) Employ industry-accepted procedures substantially equivalent to those specified by the United States department of defense Department of Defense for the destruction or sanitization of data on hard drives and other data storage devices.

(b) Maintain a documented environmental, health, and safety management system that may be audited and is compliant with or equivalent to ISO 14001.

(c) If the recycler participates in the program in association with a manufacturer or manufacturer group, maintain certification for an environmentally sound management standard by a third-party certification body accredited by the ANSI-ASQ National Accreditation Board.

(d) (c) Maintain records identifying all persons to whom the recycler provided electronic devices or materials derived from electronic devices for the purpose of conducting additional recycling and the weight and volume of material provided to each of those persons.

(e) (d) Not use state or federal prison labor to process covered electronic devices or transact with a third party that uses or subcontracts for the use of prison labor.

Sec. 17321. After April 1, 2012, the department, pursuant to the administrative procedures act of 1969, 1969 PA 306, MCL 24.201 to 24.328, may promulgate rules for the purposes of sections 17303 and 17315.

Sec. 17323. (1) Management of covered electronic devices consistent with this part is not considered disposal for purposes of section 11538(6).11538(7).

(2) To the extent allowed under federal law, a CED that is being collected for recycling or reuse, that is being recycled, or that is being processed for reuse is not considered to be hazardous waste, household waste, or solid waste.

Sec. 17325. (1) The department shall administer and enforce this part to the extent that funds are appropriated for that purpose.

(2) The At least once every 2 years, the department may shall inspect the operations of a recycler of covered electronic devices to assess compliance with the requirements of this part.

Sec. 17327. (1) The electronic waste recycling fund is created within the state treasury.

(2) The state treasurer may receive money or other assets from any source for deposit into the fund. The state treasurer shall direct the investment of the fund. The state treasurer shall credit to the fund interest and earnings from fund investments.

(3) Money in the fund at the close of the fiscal year shall remain in the fund and shall not lapse to the general fund.

(4) The department of environmental quality shall be the administrator of the fund for auditing purposes.

(5) Money from the fund shall be expended, upon appropriation, only for the administrative following:

(a) Administrative expenses of the department in implementing this part.

(b) Grants under section 17328.

Sec. 17328. The department shall award grants to support the collection of electronics in rural areas of this state.

Sec. 17335. (1) Manufacturers and manufacturer groups acting in compliance with this part may negotiate with, enter into contracts with, or conduct business with each other and with any other entity developing, implementing, operating, or participating in or performing any other activity directly related to a program, and the manufacturer, clearinghouse, and any entity developing, implementing, operating, or participating in or performing any other activity related to a program are not subject to damages, liability, or scrutiny under federal antitrust law regardless of the effects of their actions on competition.

(2) The supervisory activities described in this part are sufficient to confirm that activities of the manufacturers, manufacturer group, and any entity developing, implementing, operating, participating in, or performing any other activities related to a stewardship program are authorized and actively supervised by this state.