AN ACT. (H. B. 3403) (Conference) (No ) (Approved August 25, 2012)

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1 (H. B. 3403) (Conference) (No ) (Approved August 25, 2012) AN ACT To enact the Residential and Commercial Used Oil and Grease Recycling Program Act, in order to direct the Waste Management Authority to establish and maintain a Residential and Commercial Used Oil and Grease Collection, Disposal and Recycling Program, which regulates and provides for the collection of oil and greases used in the preparation of food items intended for human consumption and that shall be complementary to other existing programs; to empower the Waste Management Authority to enter into agreements with the municipalities and form partnerships with nonprofit entities, and to adopt mechanisms and regulations as necessary for the operations of the aforementioned Program; and for other related purposes. STATEMENT OF MOTIVES Section 19 of Article VI of the Constitution of Puerto Rico sets forth the duty of the Commonwealth to promote, as public policy, the conservation of its natural resources for the general welfare of the community. In addition, Section 19 of Article II of the Bill of Rights states the power of the Legislative Assembly to enact any laws necessary to promote the health and general wellbeing of the people. The approval of Act No , as amended, known as the Act for the Proper Management of Used Oil in Puerto Rico, prohibited the disposal of used oils on land, in sewers, and in bodies of water. The legislative intent of this Act at the time of its approval was, and is still today, to protect our environment by preventing the improper disposal of used oils, which is detrimental to our health and natural resources. Furthermore, said Act provided for the creation of the

2 necessary infrastructure to collect these oils. However, it does not apply to oils and liquefied grease often used to prepare food. It also fails to grant powers or impose obligations with regard to the establishment of a recycling program specifically for these oils. In Puerto Rico, large quantities of different types of oil and greases are used to prepare food, in our homes as well as in fast-food establishments, business establishments, and restaurants. In most cases, once food is prepared, cooking oils are poured down the drain and into the sewer system, which constitutes a hazard to our health and the environment. Frequently, residences and small businesses experience disruptions as a consequence of blocked pipes; all this as a result of misinformation, or the lack of necessary mechanisms or resources to dispose of cooking oils properly. It is our duty to contribute to maintain our environment and protect our natural resources. This measure seeks not only to raise people s awareness, but also to provide an adequate mechanism to achieve such purposes. That is to say, to encourage citizens, businesses, food establishments, and supermarkets, among others, to collect used cooking oil and grease and dispose of them properly. The mission of the Waste Management Authority is to assess, plan, develop, and implement the necessary infrastructure and strategies for the effective management of solid wastes in the Island in order to protect the environment and public health, and to conserve the natural resources of Puerto Rico. For such reasons, the Legislative Assembly hereby directs the Waste Management Authority to establish and maintain a program to provide the necessary mechanisms for the collection and recycling of cooking oil and grease, in harmony with its ministerial duties and its waste disposal responsibilities.

3 It is necessary to mention that a Financial Incentives Program was created through Section 20 of Act No , as amended, known as the Puerto Rico Solid Waste Reduction and Recycling Act, to promote the development of recycling activities in Puerto Rico. Among the incentives granted, it established that the rates to be charged for the services of collection, transportation, processing, and storage of recyclable materials shall be lower per ton of solid waste than the rates to be charged for services related to other methods of waste management and disposal. Furthermore, the Industrial Development Company was also directed to provide tax incentives to promote the establishment of recycling industries or industries that use recyclable or recycled materials to manufacture their products, pursuant to the provisions of Act No , known as the Economic Incentives Act for the Development of Puerto Rico ; and to assess and foster the development of tax incentives in addition to those granted under Act No. 73, supra, in order to promote the establishment of these industries. Therefore, in view of the foregoing, this measure provides for industries or entities that meet the requirements and criteria established by the Waste Management Authority for the operation of the aforementioned program, in addition to the parameters set forth in Section 20 of Act No , to enjoy the various financial incentives granted under said Section. In seeking to discharge our responsibilities and to establish and implement the necessary public policy for the efficient management of liquid and solid wastes generated in the Island, as well as to protect our health and the environment, this Legislative Assembly deems it necessary to approve this Act. BE IT ENACTED BY THE LEGISLATIVE ASSEMBLY OF PUERTO RICO: Section 1.- This Act shall be known as the Residential and Commercial Used Oil and Grease Recycling Program Act.

4 Section 3.- For the purposes of this Act, the following words and phrases shall have the meaning stated below: (a) Used Oil and Grease shall mean any liquefied grease or oil obtained from different substances, which has been used to prepare food intended for human consumption. (b) Authority shall mean the Solid Waste Authority. (c) Customers shall mean consumer(s), citizen(s), business(es), restaurant(s), municipality(ies), hospital(s), supermarket(s), grocery store(s), and any other commercial establishment, entity, or private company that collects and delivers or recycles used oil and/or grease for recycling. Section 3.- The Solid Waste Authority is hereby directed to establish a Residential and Commercial Used Oil and Grease Collection, Disposal and Recycling Program, which regulates and provides for the collection of oil and greases used in the preparation of food, and that shall be complementary to other existing programs. Provided, that it shall approve the necessary mechanisms and regulations to enforce the provisions of this Act. Furthermore, the Authority is hereby authorized to enter into agreements with the municipalities to establish used oil and grease collection and recycling centers, and also to form partnerships with nonprofit entities that wish to facilitate the operations of these centers to protect the environment. Section 4.- All those that comply with the requirements and criteria established by the Waste Management Authority for the operation of the Residential and Commercial Used Oil and Grease Collection, Disposal, and Recycling Program, and with the parameters provided in Section 20 of Act No , as amended, known as the Puerto Rico Solid Waste Reduction and Recycling Act, shall enjoy the different financial incentives granted under said Section.

5 Section 5.- If any court with jurisdiction finds any part of this Act, or the applicability thereof, to be null or unconstitutional, the remaining provisions thereof shall continue to be in full force and effect. Section 6.- This Act shall take effect immediately after its approval.

6 CERTIFICATION I hereby certify to the Secretary of State that the following Act No (H. B. 3403) (Conference) of the 7 th Session of the 16 th Legislature of Puerto Rico: AN ACT to enact the Residential and Commercial Used Oil and Grease Recycling Program Act, in order to direct the Waste Management Authority to establish and maintain a Residential and Commercial Used Oil and Grease Collection, Disposal and Recycling Program, which regulates and provides for the collection of oil and greases used in the preparation of food items intended for human consumption and that shall be complementary to other existing programs; to empower the Waste Management Authority to enter into agreements with the municipalities and form partnerships with nonprofit entities, and to adopt mechanisms and regulations as necessary for the operations of the aforementioned Program; and for other related purposes. has been translated from Spanish to English and that the English version is correct. In San Juan, Puerto Rico, on the 3 rd day of October, María del Mar Ortiz Rivera