Add Art 27 Title 32 §§27-3201 - 27-3243, En Con L; add §92-kk, St Fin L
Relates to establishing the carpet stewardship program; establishes a carpet stewardship advisory board; requires the establishment of a carpet stewardship plan to be approved by the commissioner of environmental conservation; establishes the carpet administrative fund.
STATE OF NEW YORK
2021-2022 Regular Sessions
February 22, 2021
Introduced by Sens. KAVANAGH, MAY -- read twice and ordered printed, and
when printed to be committed to the Committee on Environmental Conser-
vation -- committee discharged, bill amended, ordered reprinted as
amended and recommitted to said committee
AN ACT to amend the environmental conservation law and the state finance
law, in relation to establishing a carpet stewardship program
The People of the State of New York, represented in Senate and Assem-bly, do enact as follows:
1 Section 1. Declaration of legislative findings and intent. The legis-
2 lature finds and declares that it is the policy of the state of New York
3 to promote the recyclability of products and materials and to promote
4 policies that encourage the optimal goal of closed-loop recycling and a
5 circular economy. The legislature finds and declares that the solid
6 waste management plan adopted by the department of environmental conser-
7 vation on December 27, 2010 entitled "Beyond Waste, A Sustainable Mate-
8 rials Management Strategy for New York State" promotes and supports a
9 system of sustainable solid waste management and favors waste
10 prevention, reuse, and recycling over the disposal of materials. The
11 legislature finds and declares that in the solid waste management plan
12 product stewardship was identified as a centerpiece of the new solid
13 waste management plan for the state, and carpet was one of the products
14 identified as most suited to a stewardship approach based on research
15 and feedback from stakeholders. According to the report, carpet
16 accounted for 1.4 percent of total solid waste generation in New York
17 state, or roughly 512 million pounds. Carpet waste is heavy and bulky
18 and imposes significant solid waste management cost on municipalities
19 because it is expensive to dispose of. The legislature finds and
20 declares that perfluoroalkyl and polyfluoroalkyl substances, or PFAS
21 chemicals, which are harmful to humans are increasingly being found in
22 household products, including carpets produced by major United States
23 carpet producers. The legislature further finds and declares that reduc-
EXPLANATION--Matter in italics (underscored) is new; matter in brackets
 is old law to be omitted.
S. 5027--A 2
1 ing the toxic components in carpet will not only reduce exposure to
2 toxic chemicals in our homes and workplaces, but also improve market
3 opportunities for carpet to be recycled back into carpet materials. The
4 legislature finds and declares that enactment of this act will reduce
5 carpet waste, encourage closed-loop carpet recycling, and provide a
6 mechanism for carpet producer stewardship of its product through its
7 life cycle.
8 § 2. Article 27 of the environmental conservation law is amended by
9 adding a new title 32 to read as follows:
10 TITLE 32
11 CARPET STEWARDSHIP
12 Section 27-3201. Short title and definitions.
13 27-3203. Labeling, warranty, and design requirements.
14 27-3205. Post-consumer content and adhesive requirements.
15 27-3207. Carpet stewardship advisory board.
16 27-3209. Stewardship organization responsibilities.
17 27-3211. Stewardship plan.
18 27-3213. Submission to the commissioner and approval timing.
19 27-3215. Collection convenience standard requirements.
20 27-3217. Stewardship assessment.
21 27-3219. Administrative fee.
22 27-3221. Producer responsibilities.
23 27-3223. Retailer and distributor responsibilities.
24 27-3225. Requirements for program collectors.
25 27-3227. Requirement for recycling.
26 27-3229. Department responsibilities.
27 27-3231. Rules and regulations.
28 27-3233. Annual audit and report.
29 27-3235. Enforcement and penalties.
30 27-3237. State preemption.
31 27-3239. Procurement.
32 27-3241. Anti-competitive conduct.
33 27-3243. Severability.
34 § 27-3201. Short title and definitions.
35 1. This title may be known as and may be cited as the "New York state
36 carpet stewardship law".
37 2. The definitions in this section apply throughout the title unless
38 the context clearly requires otherwise:
39 (a) "Brand" means a name, symbol, word, or mark that attributes the
40 product to the owner or licensee of the brand as the producer.
41 (b) "Carpet" means a manufactured article that is (i) used in commer-
42 cial buildings or single or multifamily residential buildings, (ii)
43 affixed or placed on the floor or building walking surface as a decora-
44 tive or functional building interior or exterior feature, and (iii)
45 primarily constructed of a top surface of synthetic or natural face
46 fibers or yarns or tufts attached to a backing system made of synthetic
47 or natural materials. "Carpet" includes, but is not limited to, a
48 commercial or residential broadloom carpet, modular carpet tiles, and
49 artificial turf, pad or underlayment used in conjunction with a carpet.
50 "Carpet" does not include handmade rugs, area rugs, or mats.
51 (c)"Carpet stewardship advisory board" means the board created under
52 section 27-3207 of this title.
53 (d) "Closed-loop recycling" means a process where discarded carpet is
54 collected, recycled, and then used again to make carpet.
55 (e) "Collection rate" means the amount of carpet collected and is
56 determined by dividing the amount of discarded carpet collected for
S. 5027--A 3
1 recycling or reuse by the total amount of carpet discarded in a program
3 (f) "Collection site" means a permanent location in the state at which
4 discarded carpet may be returned for recycling by a consumer.
5 (g) "Collector" means a person who collects discarded carpet for the
6 purpose of supplying the recyclers.
7 (h) "Commissioner" means the commissioner of environmental conserva-
9 (i) "Consumer" means a person located in the state who purchases,
10 owns, leases, or uses carpet, including but not limited to an individ-
11 ual, a business, corporation, limited partnership, not-for-profit corpo-
12 ration, the state, a public corporation, public school, school district,
13 private or parochial school, or board of cooperative educational
14 services or governmental entity.
15 (j) "Department" means the department of environmental conservation.
16 (k) "Discarded carpet" means carpet that a consumer has used and
17 disposed of in the state.
18 (l) "Distributor" or "wholesaler" means a person who buys or otherwise
19 acquires carpet and sells or offers to sell carpet to retailers in this
21 (m) "Energy recovery" means the process by which all or a portion of
22 solid waste materials are processed or combusted in order to utilize the
23 heat content or other forms of energy derived from such solid waste
25 (n) "Perfluoroalkyl and polyfluoroalkyl substances" or "PFAS chemi-
26 cals" means a class of fluorinated organic chemicals containing at least
27 one fully fluorinated carbon atom.
28 (o) "Producer" means any person who manufactures or renovates carpet
29 that is sold, offered for sale, or distributed in the state. "Producer"
31 (i) the owner of a trademark or brand under which carpet is sold,
32 offered for sale, or distributed in this state, whether or not such
33 trademark or brand is registered in the state; and
34 (ii) any person who imports carpet into the United States that is sold
35 or offered for sale in the state and that is manufactured by a person
36 who does not have a presence in the United States.
37 (p) "Proprietary information" means information that is a trade secret
38 or is production, commercial, or financial information, that if
39 disclosed would impair the competitive position of the submitter and
40 would make available information not otherwise publicly available.
41 (q) "Recycling" means the process by which discarded carpet is proc-
42 essed and returned to the economic mainstream for the purpose of prepar-
43 ing the materials, components, or commodities for use or reuse in new
44 products or components. "Recycling" does not include energy recovery or
45 energy generation by means of combustion or landfill disposal of
46 discarded carpet.
47 (r) "Recycling rate" means the percentage of discarded carpet products
48 that is managed through recycling or reuse, as defined by this title,
49 and is computed by dividing the amount of discarded carpet collected and
50 recycled or reused by the total amount of discarded carpet collected
51 over a program year.
52 (s) "Recycler" means a person that engages in recycling.
53 (t) "Retailer" means any person who sells or offers for sale carpet to
54 a consumer in the state.
55 (u) "Reuse" means donating or selling a discarded carpet product back
56 into the market for its original intended use, when the discarded carpet
S. 5027--A 4
1 product retains its original performance characteristics and can be used
2 for its original purpose.
3 (v) "Sale" or "sell" means a transfer of title of carpet for consider-
4 ation, including a remote sale conducted through a sales outlet, cata-
5 log, website, telephone, or through similar electronic means. "Sale" or
6 "sell" includes a lease through which carpet is provided to a consumer
7 in the state by a producer, distributor, or retailer.
8 (w) "Stewardship organization" means a nonprofit entity representing
9 producers and other designated representatives who are cooperating with
10 one another to collectively establish and operate a stewardship program
11 for the purpose of complying with this title.
12 (x) "Stewardship program" means a program financed and implemented by
13 producers through a stewardship organization that provides for, but is
14 not limited to, the collection, transportation, reuse, recycling, or
15 proper management through disposal, or an appropriate combination there-
16 of, of discarded carpet.
17 § 27-3203. Labeling, warranty, and design requirements.
18 1. On and after the effective date of this title, carpet sold or
19 offered for sale in the state shall be accompanied by the following
20 identifying information:
21 (a) Name of the producer and contact information;
22 (b) Carpet material, composition, and type of construction.
23 2. On and after the effective date of this title, all carpet shall be
24 accompanied by an all-inclusive warranty for a period of seven years,
25 with exceptions for inappropriate use and damage.
26 3. On and after a date that is two years after the effective date of
27 this title, no carpet sold or offered for sale in the state shall
28 contain or be treated with PFAS chemicals to provide a specific charac-
29 teristic, appearance or quality, to perform a specific function, or for
30 any other purpose.
31 § 27-3205. Post-consumer content and adhesive requirements.
32 1. On and after a date that is two years after the effective date of
33 this title, all carpet sold in the state shall be manufactured with a
34 minimum of ten percent from post-consumer sources; and four years there-
35 after, a minimum of twenty percent from post-consumer sources; and five
36 years thereafter, a minimum of thirty percent from such sources.
37 2. On and after a date which is two years after the effective date of
38 this title, no permanent adhesives may be used in the installation of
39 carpet. All carpet shall be designed and installed so as to allow
40 removal without significant damage to the carpet.
41 § 27-3207. Carpet stewardship advisory board.
42 1. There is hereby established within the department the carpet
43 stewardship advisory board to receive and review stewardship plans
44 required by this title and make recommendations to the commissioner
45 regarding their approval.
46 2. The board shall be composed of eleven voting members to be
47 appointed by the commissioner. Such members shall include:
48 (a) one representative of carpet producers;
49 (b) one representative of carpet retailers;
50 (c) one representative of carpet recyclers;
51 (d) one representative of carpet collectors;
52 (e) two representatives of companies that utilize discarded carpet to
53 manufacture a new product;
54 (f) one representative of a carpet installer association;
55 (g) one representative from a statewide environmental organization;
56 (h) one representative from a statewide waste disposal association;
S. 5027--A 5
1 (i) one representative from the New York product stewardship council;
3 (j) one at-large member.
4 3. Such appointments shall be made no later than the first day of
5 January following the date on which this title takes effect.
6 4. The members shall designate a chair from among the members by
7 majority vote. Board members shall receive no compensation but shall be
8 entitled to their necessary and actual expenses incurred in the perform-
9 ance of their board duties.
10 5. The board shall meet at least quarterly by call of the chair.
11 6. Each carpet stewardship plan prepared by a stewardship organization
12 pursuant to this title shall be submitted to the advisory board, which
13 shall consider whether the plan meets the criteria and objectives of
14 this title.
15 7. The board shall, within ninety days of such submission, either:
16 (a) forward the plan to the commissioner with its recommendation for
17 approval; or
18 (b) return the plan with its disapproval and stated reasons therefor,
19 including any recommended changes to the plan necessary for approval.
20 8. A stewardship organization may resubmit a plan for approval at any
21 time. Upon such resubmission, the board shall within ninety days forward
22 the plan to the commissioner with its recommendation for approval or
24 9. The board shall review the submitted annual reports and make such
25 recommendations to the department and stewardship organization with an
26 approved plan for improving the plan. 10. The decision of the board
27 shall be by vote of the majority of its membership.
28 § 27-3209. Stewardship organization responsibilities.
29 1. A stewardship organization shall be created and financed collec-
30 tively by carpet producers.
31 2. The stewardship organization shall demonstrate to the department
32 the management capability and financial capacity to operate a statewide
34 3. The stewardship organization shall not control, be controlled by,
35 nor be under common control of any single manufacturer, third-party
36 organization, vendor, collector, or industry-wide trade association.
37 4. The stewardship organization shall have a board of directors
38 composed of the following:
39 (a) two representatives of carpet producers;
40 (b) two representatives of carpet recyclers;
41 (c) two representatives of manufacturers who utilize recycled carpet
42 materials but are not carpet producers;
43 (d) one representative of retailers;
44 (e) one representative of a New York-based environmental advocacy
45 organization; and
46 (f) one representative of an organization that represents local
48 5. On or before the first of July following the formation of the
49 carpet stewardship advisory board, a stewardship organization shall
50 submit a stewardship plan to the carpet stewardship advisory board.
51 6. A stewardship organization operating a stewardship program shall
52 update the stewardship plan every three years, at a minimum, and submit
53 the updated plan to the department for review and approval.
54 7. The stewardship organization shall notify the department within
55 thirty days of any significant changes or modifications to the plan or
56 its implementation. Within thirty days of the notification, a written
S. 5027--A 6
1 plan amendment shall be submitted to the department for review and
3 8. The stewardship organization shall meet with the carpet stewardship
4 advisory board at least twice per year.
5 9. The stewardship organization shall be responsible for producers'
6 compliance with the requirements of this title, including: the prepara-
7 tion and implementation of a stewardship plan, the preparation and
8 submission of annual audits, and reports to the commissioner as provided
9 in section 27-3233 of this title.
10 § 27-3211. Stewardship plan.
11 1. The stewardship plan shall include, at a minimum:
12 (a) Certification that the stewardship program will accept for
13 collection all discarded carpet;
14 (b) Contact information for each individual representing the steward-
15 ship organization, including the address of the stewardship organization
16 where the department will send any notifications and for service of
17 process, designation of a program manager responsible for administering
18 the program, a list of all producers participating in the stewardship
19 program, and contact information for each producer, including the
20 address for service of process, and the brands covered by the product
21 stewardship program;
22 (c) A description of the methods by which discarded carpet will be
24 (d) An explanation of how the stewardship program will achieve, at a
25 minimum, a convenience standard under section 27-3215 of this title;
26 (e) A description of how the effectiveness of the stewardship program
27 will be monitored, evaluated, and maintained;
28 (f) The names and locations of collection sites, transporters, and
29 recyclers who will manage discarded carpet;
30 (g) A description of how the discarded carpet will be safely and
31 securely transported, tracked, and handled from collection through final
32 recycling and processing;
33 (h) A description of the methods to be used to reuse or recycle
34 discarded carpet to ensure that the components, to the extent feasible,
35 are transformed or remanufactured into finished products for use;
36 (i) A description of the methods to be used to manage or dispose of
37 discarded carpet that cannot be recycled or reused;
38 (j) Establish goals for each year of the plan that increase the annual
39 percent of discarded carpet that is collected (collection rate) and the
40 annual percent that is recycled (recycling rate) and the percent of
41 which, pending available markets, should be closed-loop recycled. This
42 calculation is to be based on the previous three-year average amount of
43 carpet sold in the state so that the following goals are met:
44 (i) Five years after the effective date of this title, twenty-five
45 percent recycled, of which ten percent should be closed-loop recycling;
46 (ii) Ten years after the effective date of this title, fifty percent
47 recycled, of which twenty percent should be closed-loop recycling; and
48 (iii) Fifteen years after the effective date of this title, seventy-
49 five percent recycled, of which forty percent should be closed-loop
51 (k) A description of the outreach and educational materials that must
52 be provided to consumers, retailers, collection sites, and transporters
53 of discarded carpet, and how such outreach will be evaluated for effec-
54 tiveness. These materials shall include:
S. 5027--A 7
1 (i) information about collection opportunities for post-consumer
2 carpet; efforts to promote the source reduction, reuse, and recycling of
3 carpet; and
4 (ii) a program that shall be implemented to train carpet installers on
5 how to properly manage discarded carpet.
6 (l) An up-to-date stewardship organization website and toll-free tele-
7 phone number through which a consumer can easily learn how and where to
8 return their discarded carpet for recycling;
9 (m) An evaluation of the status of end markets for discarded carpet
10 and what, if any, additional end markets are needed to improve the func-
11 tioning of the programs;
12 (n) A funding mechanism that demonstrates sufficient funding to carry
13 out the plan, including the administrative, operational, and capital
14 costs of the plan;
15 (o) A description of a process by which an independent auditor will be
16 selected for the purposes of section 27-3233 of this title. The plan
17 shall identify the criteria used by the stewardship organization in
18 selecting an independent auditor, including:
19 (i) identify, in detail, the operational plans for interacting with
20 retailers on the proper handling and management of post-consumer carpet;
21 (ii) define the methodology for calculating the fees necessary to
22 achieve the annual collection and recycling rates;
23 (iii) ensure that fees collected are sufficient for implementation of
24 this title.
25 (p) Any other information required by regulations promulgated by the
27 2. By the first of July after the effective date of this title, and by
28 July first of each year thereafter, the stewardship organization shall
29 submit a report to the department that includes, for the previous
30 program year, a description of the stewardship program, including, but
31 not limited to, the following:
32 (a) a description of the methods used to collect, transport, and proc-
33 ess discarded covered products in regions of the state;
34 (b) identification of all collection sites in the state;
35 (c) the weight of all discarded covered products collected and reused
36 or recycled in all regions of the state;
37 (d) an evaluation of whether the performance goals and recycling rates
38 established in the stewardship plan have been achieved; and
39 (e) an estimated weight of discarded covered products and any compo-
40 nent materials that were collected pursuant to the stewardship plan, but
41 not recycled.
42 § 27-3213. Submission to the commissioner and approval timing.
43 1. Before rejection or approval of a stewardship plan can be made in
44 accordance with this title, the stewardship organization shall submit
45 the plan to the carpet stewardship advisory board.
46 2. Within sixty days of submission of the stewardship plan to the
47 commissioner upon the recommendation of the advisory board, the commis-
48 sioner shall either approve the plan, or return it to the stewardship
49 organization and provide the reasons for disapproval.
50 3. The stewardship organization shall provide a revised plan to the
51 commissioner within sixty days, and the commissioner shall approve or
52 reject such revised plan within thirty days.
53 4. The stewardship organization shall implement the stewardship plan
54 on the first of January in the year following approval of the plan under
55 this section.
56 § 27-3215. Collection convenience standard requirements.
S. 5027--A 8
1 1. Program collection sites shall be made available within a fifteen
2 mile radius for at least seventy percent of the population of the
3 state's residents, and within a fifteen mile radius for at least eighty
4 percent of the population of the state's residents within three years
5 after the start of the program.
6 2. Convenience standards shall be evaluated by the department period-
7 ically and the department may require additional collection locations to
8 ensure adequate consumer convenience.
9 3. In those areas that are not included within the collection conven-
10 ience standard in subdivision one of this section, the stewardship
11 organization shall provide collection events at least once per year.
12 4. With respect to a city having a population of one million or more,
13 after consultation with the appropriate local or regional entity respon-
14 sible for the collection of solid and hazardous waste, the stewardship
15 plan shall establish an alternative convenience standard that is
16 approved by the department.
17 § 27-3217. Stewardship assessment.
18 1. One month after the approval of the stewardship plan, each producer
19 shall include in the price of any carpet sold to retailers and distribu-
20 tors in the state an amount determined under the approved stewardship
21 plan. A retailer or distributor shall not deduct this amount from the
22 purchase price.
23 2. Each producer shall remit the quarterly assessment amount to the
24 stewardship organization each quarter.
25 3. Such an assessment shall be in an amount sufficient to cover the
26 costs of collection, recycling, and other activities specified in the
27 stewardship plan as required by this title.
28 4. The stewardship assessment amount shall take into account the
29 financial burden that a particular carpet material has on the steward-
30 ship program, and the amount of post-consumer recycled content contained
31 in a particular carpet, and be differentiated to incentivize the use of
32 post-consumer content in carpet and discourage the use of carpet materi-
33 als that pose challenges for the recycling of discarded carpet.
34 5. The independent auditor, as described in the stewardship plan,
35 shall verify that the amount added to each unit of carpet will cover the
36 costs of implementing the stewardship plan.
37 6. The amounts so collected shall be deposited in a bank chartered in
38 New York and shall be expended only for the purposes of compliance with
39 this title.
40 § 27-3219. Administrative fee.
41 A stewardship organization shall pay the department the following
42 fees, which shall be adequate to cover the department's full costs of
43 administering and enforcing the stewardship program and shall not exceed
44 the amount necessary to recover costs incurred by the department in
45 connection with the administration and enforcement of the requirements
46 of this title:
47 1. a one-time fee of ten thousand dollars for a plan upon submission
48 of an initial stewardship plan; and
49 2. an annual administrative fee to be established by the department in
50 regulations to be paid one year after the effective date of this title a
51 reimbursement fee to the commissioner for the costs of administering
52 this title.
53 § 27-3221. Producer responsibilities.
54 1. By the first of January of the year following the effective date of
55 this title, each producer shall, through a stewardship organization,
56 implement and finance a statewide stewardship program that:
S. 5027--A 9
1 (a) manages carpet by reducing its waste generation;
2 (b) promotes carpet recycling and reuse; and
3 (c) provides for negotiation and execution of agreements to collect,
4 transport, process, and market the producer's discarded carpet for end-
5 of-life recycling, reuse, or disposal.
6 2. No producer may sell or offer for sale carpet in the state unless
7 the producer is part of a stewardship organization in compliance with
8 the provisions of this title.
9 3. The stewardship program shall be free to the consumer, convenient
10 and adequate to serve the needs of businesses and residents in all areas
11 of the state on an ongoing basis.
12 4. On and after the first of March of the year following the effective
13 date of this title, no carpet shall be sold or offered for sale in the
14 state that is not the subject of an approved stewardship plan as
15 provided in this title.
16 5. Each producer shall submit a plan to the department through partic-
17 ipation in a certified stewardship organization that meets the require-
18 ments of section 27-3211 of this title.
19 § 27-3223. Retailer and distributor responsibilities.
20 1. Beginning two years after the effective date of this title, no
21 retailer or distributor may sell or offer for sale carpet in the state
22 unless the producer of such carpet is participating in a stewardship
24 2. Any retailer or distributor may participate, on a voluntary basis,
25 as a designated collection point pursuant to a product stewardship
26 program and in accordance with applicable law.
27 3. No retailer or distributor shall be found to be in violation of
28 this section if, on the date the carpet was ordered from the producer or
29 its agent, the producer was listed as compliant with this title on the
30 department's website.
31 § 27-3225. Requirements for program collectors.
32 A program collector:
33 1. May not charge for the acceptance of carpet at points of
35 2. Shall accept all types and brands of carpet.
36 3. Shall abide by the best management practices for collection of
37 discarded carpet that are provided by the stewardship organization with
38 an approved plan.
39 4. Shall submit an annual report to the stewardship organization with
40 an approved plan.
41 § 27-3227. Requirement for recycling.
42 All carpet that is removed by installers and to be discarded is
43 required to be transported to a program collection site for recycling.
44 § 27-3229. Department responsibilities.
45 1. Upon stewardship plan approval, the department shall post informa-
46 tion on its website about the stewardship organization and its partic-
47 ipating producers that are in compliance with this title, including the
48 brands of such producers.
49 2. Beginning the first of January of the year following the effective
50 date of this title, the department shall post on its website the
51 location of all collection sites identified to the department by the
52 stewardship organization in its plans and annual reports.
53 3. The department shall post on its website the stewardship plan
54 approved by the department.
S. 5027--A 10
1 4. The department shall deposit the fees collected pursuant to this
2 title into the stewardship organization fund as established pursuant to
3 section ninety-two-kk of the state finance law.
4 5. The department shall select one stewardship organization per five
5 year operating period.
6 6. The department shall meet with the stewardship organization with an
7 approved plan at least annually to review the functioning of the plan
8 and identify components of the plan that need improvement.
9 7. Starting six years after the effective date of this title, the
10 department shall impose a penalty of twenty-five cents per pound to be
11 assessed on the stewardship organization for each pound of carpet beyond
12 the amount actually recycled that is missing to achieve the goals speci-
13 fied in the approved stewardship plan. All penalties collected pursuant
14 to this section shall be paid over to the commissioner for deposit to
15 the environmental protection fund established pursuant to section nine-
16 ty-two-s of the state finance law.
17 § 27-3231. Rules and regulations.
18 The department is authorized to promulgate any rules and regulations
19 necessary to implement this title.
20 § 27-3233. Annual audit and report.
21 1. The stewardship organization shall appoint an independent auditor
22 who shall, at the end of each calendar year in which a stewardship plan
23 is in effect, review the implementation of such plan and assess whether
24 stewardship assessments provided for in such plan are sufficient to fund
25 the costs of compliance with this title, and whether they exceed such
26 costs. The results of such audit shall be submitted to the commissioner
27 together with the annual report provided for in this section.
28 2. Starting with year two of the approved plan, the stewardship organ-
29 ization shall demonstrate to the auditor that a financial reserve exists
30 that will finance the organization's activities for at least six months.
31 3. At the close of each calendar year in which a stewardship plan is
32 in effect, the stewardship organization shall submit a report to the
33 commissioner and stewardship advisory board containing the following
35 (a) a detailed description of the methods used to collect, transport,
36 and recycle discarded carpet in the state;
37 (b) an evaluation of the convenience of the collection process for
39 (c) the weight of discarded carpet collected, recycled, and otherwise
40 disposed of;
41 (d) the amount of carpet sold in the state during the reporting peri-
43 (e) an estimate of the amount of discarded carpet that has been
44 collected for reuse and an evaluation of what the stewardship organiza-
45 tion can do to increase the amount of discarded carpet that is reused;
46 (f) a description of the collection infrastructure and listing of
47 collection sites;
48 (g) a description and evaluation of the education and outreach
49 program, samples of educational materials provided to consumers and
50 carpet installers, and an evaluation of the effectiveness of the materi-
51 als and methods used to disseminate the materials;
52 (h) information on progress made towards recycling targets and an
53 explanation of why performance goals were not met, if applicable;
54 (i) an evaluation of the effectiveness of methods and processes used
55 to achieve performance goals; and
56 (j) recommendations for any changes to the program.
S. 5027--A 11
1 § 27-3235. Enforcement and penalties.
2 1. Except as otherwise provided in this section, any person or entity
3 that violates any provision of or fails to perform any duty imposed
4 pursuant to this title or any rule or regulation promulgated pursuant
5 thereto, or any term or condition of any registration or permit issued
6 pursuant thereto, or any final determination or order of the commission-
7 er made pursuant to this article or article seventy-one of this chapter
8 shall be liable for a civil penalty not to exceed five hundred dollars
9 for each violation and an additional penalty of not more than five
10 hundred dollars for each day during which such violation continues.
11 2. Any retailer or distributor who violates any provision of or fails
12 to perform any duty imposed pursuant to this title or any rule or regu-
13 lation promulgated pursuant thereto, or any term or condition of any
14 registration or permit issued pursuant thereto, or any final determi-
15 nation or order of the commissioner made pursuant to this article or
16 article seventy-one of this chapter shall be liable for a civil penalty
17 not to exceed one thousand dollars for each violation and an additional
18 penalty of not more than one thousand dollars for each day during which
19 such violation continues.
20 3. Any producer or stewardship organization who violates any provision
21 of or fails to perform any duty imposed pursuant to this title or any
22 rule or regulation promulgated pursuant thereto, or any term or condi-
23 tion of any registration or permit issued pursuant thereto, or any final
24 determination or order of the commissioner made pursuant to this article
25 or article seventy-one of this chapter shall be liable for a civil
26 penalty not to exceed five thousand dollars for each violation and an
27 additional penalty of not more than one thousand five hundred dollars
28 for each day during which such violation continues. For a second
29 violation committed within twelve months of a prior violation, the
30 producer or stewardship organization shall be liable for a civil penalty
31 not to exceed ten thousand dollars and an additional penalty of not more
32 than three thousand dollars for each day during which such violation
33 continues. For a third or subsequent violation committed within twelve
34 months of any prior violation, the producer or stewardship organization
35 shall be liable for a civil penalty not to exceed twenty thousand
36 dollars and an additional penalty of six thousand dollars for each day
37 during which such violation continues.
38 4. All producers participating in a stewardship organization shall be
39 jointly and severally liable for any penalties assessed against the
40 stewardship organization pursuant to this title and article seventy-one
41 of this chapter.
42 5. Civil penalties under this section shall be assessed by the depart-
43 ment after an opportunity to be heard pursuant to the provisions of
44 section 71-1709 of this chapter, or by the court in any action or
45 proceeding pursuant to section 71-2727 of this chapter, and in addition
46 thereto, such person or entity may by similar process be enjoined from
47 continuing such violation and any permit, registration or other approval
48 issued by the department may be revoked or suspended or a pending
49 renewal denied.
50 6. The department and the attorney general are hereby authorized to
51 enforce the provisions of this title and all monies collected shall be
52 deposited to the credit of the environmental protection fund established
53 pursuant to section ninety-two-s of the state finance law.
54 § 27-3237. State preemption.
55 Jurisdiction in all matters pertaining to carpet recycling is, by this
56 title, vested exclusively in the state. Any provision of any local law
S. 5027--A 12
1 or ordinance, or any rule or regulation promulgated thereto, governing
2 carpet recycling shall, upon the effective date of this title, be
3 preempted; provided however, that nothing in this section shall preclude
4 a person from coordinating, for recycling or reuse, the collection of
6 § 27-3239. Procurement.
7 State procurement guidelines shall specify a requirement to purchase a
8 certain amount of carpet with a minimum post-consumer recycled content.
9 § 27-3241. Anti-competitive conduct.
10 1. A stewardship organization that organizes the collection, trans-
11 port, and processing of discarded carpets, in an action to increase the
12 recycling of discarded carpets by a producer, stewardship organization,
13 or retailer that affects the types and quantities being recycled or the
14 cost and structure of any return program shall not be liable for any
15 claim of a violation of anti-trust, restraint of trade, or unfair trade
16 practice arising from conduct undertaken in accordance with the program
17 pursuant to this section, including setting and collection of a steward-
18 ship charge.
19 2. Provided however, subdivision one of this section shall not apply
20 to any agreement establishing or affecting the output or production of
21 carpet or any agreement restricting the geographic area or customers to
22 which carpet will be sold.
23 § 27-3243. Severability.
24 The provisions of this title shall be severable and if any phrase,
25 clause, sentence or provision of this title, or the applicability there-
26 of to any person or circumstance shall be held invalid, the remainder of
27 this title and the application thereof shall not be affected thereby.
28 § 3. The state finance law is amended by adding a new section 92-kk to
29 read as follows:
30 § 92-kk. Carpet administrative fund. 1. There is hereby established in
31 the joint custody of the state comptroller and the commissioner of taxa-
32 tion and finance a special fund to be known as the "carpet administra-
33 tive fund".
34 2. The carpet administrative fund shall consist of all revenue
35 collected from administrative fees pursuant to title thirty-two of arti-
36 cle twenty-seven of the environmental conservation law and any cost
37 recoveries, or other revenues collected pursuant to title thirty-two of
38 article twenty-seven of the environmental conservation law, and any
39 other monies deposited into the fund pursuant to law.
40 3. Moneys of the fund, following appropriation by the legislature,
41 shall be used for execution of carpet program administration pursuant to
42 title thirty-two of article twenty-seven of the environmental conserva-
43 tion law, and expended for the purposes as set forth in title thirty-two
44 of article twenty-seven of the environmental conservation law.
45 § 4. This act shall take effect one year after it shall have become a
46 law. Effective immediately, the addition, amendment and/or repeal of any
47 rule or regulation necessary for the implementation of this act on its
48 effective date are authorized to be made and completed on or before such
49 effective date.