DEPARTMENT OF PUBLIC HEALTH AND ENVIRONMENT

Solid and Hazardous Waste Commission
Hazardous Materials and Waste Management Division
6 CCR 1007-2

Statement of Basis and Purpose
 and Specific Statutory Authority for

Amendment to the Regulations Pertaining to Solid Waste Sites and Facilities (6 CCR 1007-2, Part 1) – Section 10.3.2 (Registration for Waste Tire Haulers), Section 10.3.3 (Waste Tire Hauler Decals), 10.7.3 (Mobile Waste Tire Processors Registration Requirements), 10.7.4 (Mobile Waste Tire Processor Decal), Table 10-12-.01 (Eligible End Uses and Retailing for the End Users Fund) and Section 10.12.5 (Waste Tire End Users Fund Rebate Amount). 

(Adopted by the Solid and Hazardous Waste Commission on August 18, 2020)

Basis and Purpose
	
I.	Statutory Authority

Section 30-20-1401(2), C.R.S. gives the Solid and Hazardous Waste Commission (the Commission) the authority to promulgate waste tire regulations in order to implement and enforce Section 30, Article 20, Part 14, C.R.S. 

II.	Purpose of revised regulations:
	
The purpose of revising 6 CCR 1007-2 Part 1 (the Regulations) is to update waste tire hauler and mobile waste tire processor registration requirements and set the End User fund per ton rebate.

Discussion of Regulatory Proposal

	Section 10.3.2 (B)(3) (Registration for Waste Tire Haulers) was modified to add that a Waste Tire Hauler applicant include an email address. This change will allow the Division to contact the Waste Tire Hauler about the status of their application and to notify the Waste Tire Hauler about completing the annual waste tire hauler renewal application and Waste Tire Hauler Annual Report.
	
	Section 10.3.2 (B)(7) (Registration for Waste Tire Haulers) was removed to no longer require that a Waste Tire Hauler applicant submit a current vehicle registration for each vehicle used by the Waste Tire Hauler to haul waste tires. The vehicle registration information that was required (license plate number, state in which the vehicle is registered, the Vehicle Identification Number (“VIN”), the make/model and year, and the registered owner) is not necessary. The Division is no longer collecting vehicle registration information for the following reasons:
•	The Division has been collecting vehicle registration information since the Division initially started registering Waste Tire Haulers. The collected vehicle registration information has never been used by the Division for administrative or enforcement reasons. The other information required in the Certificate of Registration application is sufficient to meet the Division’s regulatory responsibilities. 
•	It is an unnecessary burden for a Waste Tire Hauler to provide the vehicle registration every year for the Waste Tire Hauler renewal registration. It takes considerable time for a Waste Tire Hauler with a large fleet of vehicles to provide the vehicle registration information through the Division’s registration or renewal registration system.
•	For the second year in a row, the Division has received complaints about the less than user-friendly waste tire hauler online registration renewal system, which includes the Waste Tire Hauler having to access through a separate url link for each vehicle’s registration information. The removal of the vehicle registration information requirement will make the Waste Tire Hauler renewal registration a more user-friendly process.
•	There are over 230 registered Waste Tire Haulers with the Division, and it takes considerable staff time to ensure that the vehicle information requirement is being met. It also takes a lot of staff time to enter/correct the vehicle information in the registration database and issue decals with the license plate number. 
	
	The Certificate of Registration for a Waste Tire Hauler expiration date in Section 10.3.2 (D) (Registration for Waste Tire Haulers) was changed to April 15 instead of March 15. Because the renewal application due date was changed to March 1, this change will allow the Division the same amount of time to process and issue registrations.

	Section 10.3.2 (F) (Registration for Waste Tire Haulers) was modified to match the April 15 expiration date set in Section 10.3.2(D).

	The Waste Tire Hauler renewal application due date in Section 10.3.2 (G) (Registration for Waste Tire Haulers) was changed from February 1 to March 1 to align with the Waste Tire Hauler Annual Report due date and to avoid the confusion of different due dates for the Waste Tire Hauler registration renewal and the annual report.

	Section 10.3.3 (C) (Waste Tire Hauler Decals) was modified to match the April 15 expiration date set in Section 10.3.2.
	
	Section 10.7.3 (C) (Mobile Waste Tire Processors Registration Requirements) was modified to add that a Mobile Waste Tire Processor applicant include an email address. This change will allow the Division to contact the Mobile Waste Tire Processor about the status of their application and to notify the Mobile Waste Tire Processor about completing the annual mobile waste tire processor renewal application and Mobile Waste Tire Processor Annual Report.

	The Certificate of Registration for a Mobile Waste Tire Processor expiration date in Section 10.7.3 (F) (Mobile Waste Tire Processors Registration Requirements) was changed to April 15 instead of March 15. Because the renewal application due date was changed to March 1, this change will allow the Division the same amount of time to process and issue registrations.

	Section 10.7.3 (G) (Mobile Waste Tire Processors Registration Requirements) was modified to match the April 15 expiration date set in Section 10.7.3 (F).

	The Mobile Waste Tire Processor renewal application due date in Section 10.7.3 (H) (Mobile Waste Tire Processors Registration Requirements) was changed from February 1 to March 1 to align with the Mobile Waste Tire Processor Annual Report due date and to avoid the confusion of different due dates for the Mobile Waste Tire Processor registration renewal and the annual report.

	Section 10.7.4 (C) (Mobile Waste Tire Processor Decal) was modified to match the April 15 expiration date set in Section 10.7.3.

	Table 10-12-.01 (Eligible End Uses and Retailing for the End Users Fund)

	A scenario was added to the eligible end use table for manufacturing tire-derived products (molded products, wattles, etc.) using rubber mulch. While the end use table does not contemplate every potential scenario under which an End User or Retailer may qualify for a rebate under the End Users Fund, the Department suggested this change because it has received inquiries from some End Users about whether certain kinds of end use qualify them for a rebate. Currently the table only specifies that rebates are available to those who manufacture products with crumb rubber (less than 1/4 inch rubber material that is wire and fiber free). This update clarifies that End Users of tire-derived products made from rubber mulch size material (1/4 inch to 3 inches that is wire and fiber free) are eligible for Tier II rebate. 

Section 10.12.5 (Waste Tires End Users Fund Rebate Amount)
	
	Section 30-20-1405(4)(a) requires the Commission to set the amount of the rebate annually. With limited data due to rebates just starting in 2020, more information will be needed to determine whether a change in the per-ton rates is appropriate. Therefore, the per-ton rates for rebates will remain the same for 2021.
 Description of Local Government Involvement in the Stakeholder Process 

	Executive Order D 2011-005 (EO-5), “Establishing a Policy to Enhance the Relationship between State and Local Government” requires state rulemaking agencies to consult with and engage local governments prior to the promulgation of any rules containing mandates. The Department completed an EO-5 Internal Communication Form – Draft & Conception Phase that was transmitted to local governments. These regulations would impact any county or municipality that are a Waste Tire Hauler, a Mobile Waste Tire Processor, and/or a Waste Tire End User.
	
Issues Encountered During Stakeholder Process: 

1.	A stakeholder submitted a comment asking if the added scenario was just a clarification on the end use of rubber mulch and molded products being eligible under the Tier II per ton rate. The Commission is adding this scenario to clarify that the end use of waste tire rubber mulch sized material in the manufacturing process with a demonstrated sale would qualify for a Tier II per ton rebate.
2.	A stakeholder contacted the department asking the reason for the new scenario added to the End Users Table. The Commission is adding this scenario to clarify that the end use of waste tire rubber mulch sized material in the manufacturing process with a demonstrated sale would qualify for a Tier II per ton rebate.
3.	A stakeholder asked about how the COVID-19 outbreak and response impacted waste tire fee collection. The department explained that waste tire fee collection was down from this same time last year. With the reduced amount of waste tire fees collected and the requirement that 25% of the waste tire fees collected be held in reserve prior to issuing the first round of rebates, the department anticipates that those approved for a rebate will receive a reduced per ton rate than what is currently approved in the regulations. 
4.	A stakeholder asked if the definition of rubber mulch was correct in the Statement of Basis and Purpose. The Commission said that the definition is correct, that rubber mulch is defined as 1/4 inch – 3 inch in size that is wire and fiber free. 

Stakeholders were notified by e-mail of the revision of these regulations. Stakeholders were given an opportunity to provide any comments.
  
Regulatory Alternatives

	No other regulatory alternatives were evaluated.

Cost/Benefit Analysis

A cost-benefit analysis will be performed if requested by the Colorado Department of Regulatory Agencies.