Minnesota Paint Stewardship Demonstration Project Stakeholder Meeting. December 13, 8-11:008 Dakota County Eco-site

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1 Minnesota Paint Stewardship Demonstration Project Stakeholder Meeting December 13, 8-11:008 am Dakota County Eco-site

2 What is Product Stewardship? MPCA Definition: Product stewardship means that all parties involved in designing, manufacturing, selling and using a product take responsibility for environmental impacts at every stage of that product's life. SWMCB Regional SW Master Plan , 2024, Regional Outcome #4: By 2010,, manufacturers and retailers will demonstrate greater responsibility for reducing the amount of toxic/hazardous components of consumer product and for properly managing these products when they become waste.

3 Product Stewardship Models British Columbia Provincial regulation 1994 Product Care Association (TPO) Quebec Provincial regulation 2001 Eco-peinture (TPO) MN Electronics Recycling Act Program enacted Producer, retailer, government responsibilities California CIWMB 9/07 adopted framework EPR policy approach

4 Government s perspective & role Responsible for public health and common good - problems with non-point causes Make it easier to do the right thing Have no say in design yet responsible for clean up Shrinking budgets, growing needs Good intentions - enabling status quo

5 Why Paint? An unintentional but natural leftover 10% of all paint sold becomes waste 64 million gallons per year nationally 13,000,000 gallons (est.) sold per year in MN 1,300,000 waste paint (est.) in MN per year Currently collecting 44.6% of available (est.) waste paint in MN ( 06 collection numbers) ~57% rate in metro counties ~32% rate in greater MN

6 Existing MN paint collection infrastructure

7 Paint in HHW Programs Paint as percentage of all SWMCB HHW collected: 21% In Greater Minnesota, paint share is higher (no e-waste e collection)

8 MN Paint Volumes Collected and Recycling Costs Volumes Collected ,000 gallons - SWMCB counties ,500 gallons greater MN Total 06 Gallons Collected = 580,500 Costs Recycling only 06 - $947,830 - metro* 06 - $429,500 (est.) - greater MN Total 06 recycling only costs $1.5 million (est.) 06 metro cost per gallon $2.56 *minus reuse volumes

9 Amazon Environmental, Inc. Amazon has been in business since 1992 We operate paint recycling facilities in California, Minnesota and Ohio We are a privately held company (Lorraine & John) Amazon recycles latex paint, and chemically similar non-hazardous materials Oil based paint? Amazon s customers include state and local governments, national waste/recycling companies, automobile manufacturers, motion picture studios and paint manufacturers.

10 Amazon Environmental, Inc. Paint is delivered to Amazon In original cans/pails packed in boxes or totes Pre-Bulked in 55 gallon drums Reusable paint from original containers is reprocessed in recycled content paint Non-reusable paint from original containers and all paint from pre-bulked drums is made into PLP

11 Recycled Content Paint Reusable paint arriving in original cans and pails is sorted by color and bulked into 55-gallon drums Color sorted paint is pumped into a tank Tested for viscosity, color, sheen, ph, opacity, etc. Adjusted with additives as necessary to meet QC specifications Fine filtered, labeled and packaged for sale

12 Non Useable Paint Non-usable paint is made into an alternative raw material for cement manufacturers that we call PLP (Processed Latex Pigment) Patented process Bad paint is mixed with fly ash, lime kiln dust, or cement kiln dust to form a clay-like like product PLP replaces certain virgin raw materials in cement and acts as a grinding aid

13 In 2006 Paint Feedstock 60% arrived bulked in drums (all bad) 40% arrived in can/pails (AEI sorted) Of the paint Amazon sorted, 61% was not usable as paint 8% was white or off white 31% was usable but less desirable colors Of all the paint, only 16% usable at all, only 3% white or off white!

14 OGCE Received 275, , , ,000 Gallons bulked Bad paint 93, , , ,000 White/Off White 13,200 19,360 16,885 17,000 Other Colors 40,590 65,505 67,430 70,000 Total Good Paint 53,790 84,865 84,315 87,000 Total Gallons bulked 147, , , ,000

15 Paint Sales Total 4 years Reprocessed 7,510 11,185 11,430 16,260 46,385 Reblended 40,200 74,690 74,745 71, ,850 Total Sold 47,710 85,875 86,175 87, ,235 Total Available 53,790 84,865 84,315 87, ,970

16 The Future Receive more cans/pails because; Fewer HHW s bulk paint themselves More paint collected at more sites Sort more colors, make more colors Upgrade paint processing equipment Move to larger facility Develop brand recognition Develop more retail outlets for RCP

17 Paint Product Stewardship Initiative (PPSI) 1 st MOU, Projects Education Infrastructure LCA/CBA Financing Recycled Paint

18 Paint Product Stewardship Initiative (PPSI) 2 nd MOU, Main Components: National paint management system ~Findings from 1 st MOU ~Term ~Goals and Objectives ~Timeline ~Work agreements ~Limitations ~Steering Committee MN Project

19 PPSI MN Demonstration Project The PPSI Plan Process ~11/07-6/08 Planning ~Implementation of Project (July 2008) ~Evaluation & final report PPSI MN Project planning committee: Representatives US EPA, PSI, Iowa, Snohomish County, WA, WA, Amazon Environmental, Hirshfields Paint, Dunn Edwards Paint, MN, SWMCB, NPCA Paint Stewardship Organization (PSO) industry lead Education source reduction Infrastructure increase collection points, volumes Recycled paint markets - support Measurement/Evaluation EPA funding

20 MN Demonstration Project Locally MN Project stakeholders: Producers in-state and national; distributors; retailers home centers & local hardware; consumers retail & contractor; government state & local policy makers, advisors, implementers; collectors government & new points; transporters state HW contractors & others; paint recyclers local, national, international; paint container recyclers; advisors; educators government, paint marketers, contractors; others we haven t thought of yet? Roles carry out tasks in your sector per demonstration project plans Process to be created from here on out!

21 Opportunities and Challenges Sustainable financing mechanism Consumer based Price of paint includes management costs -Paint management, fee management Where to apply management costs in chain of sale? Production Producers need to be made whole via retail fee collection mechanism Remit fees to PSO Retail Retailers need to be made whole for fee collection Visible at checkout? On container? In store? Remit fees to PSO Possible Solutions Agreements among producers and retailers, a la Canada?

22 Opportunities and Challenges Anti-trust trust Issue Eco-fee implementation Industry cooperation for managing paint Level Playing Field Ensure participation in system May require some type of registration or plan submittal

23 Next Steps Communication Updates written, presentations Database for MN stakeholders MPCA website Upcoming events January 08 MN Paint Council meeting January 08 MN Paint Project Stakeholder meeting date TBD 2/12/08 Legislative session commences February 27-28, 28, 2008, MPCA AWW conference PPSI dialogue meeting April 30 & May 1, Minnesota location

24 Questions? Leslie Wilson Garth Hickle

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