SENATE BILL REPORT

SB 5898

BYSenators Metcalf, Rasmussen, Patterson, Owen, von Reichbauer, Smitherman, Johnson, Madsen, Wojahn, Kreidler and Warnke

Promoting the recycling of scrap steel.

Senate Committee on Environment & Natural Resources

Senate Hearing Date(s):

Senate Staff:Atsushi Kiuchi (786-7708)

AS OF FEBRUARY 20, 1989

BACKGROUND:

Recycling of steel from old automobiles, buses and trucks provides both economic and environmental benefits.  The scrap steel recycling industry estimates it retires and processes 145,000 vehicles annually.

The vehicles have built-in components that create environmental problems while being recycled.  The scrap steel recyclers report these problems pose a liability that threatens the economic viability of the industry.

SUMMARY:

A new general fund account, scrap metal recycling account, is established based upon a $20 fee for each new vehicle sold in the state.  The fee is collected at the time of sale by the retail vehicle dealer.

The Department of Ecology will make available 70 percent of the account each year to scrap metal recyclers for environmental expenditures to include:

      recycling or destruction of hazardous components from past recycling of vehicles;

      capital improvements to assure environmentally sound recycling in the future;

      research and development on new technologies;

      studies on transportation, collection, reduction and separation of scrap steel and potentially hazardous components of motor vehicles.

Penalties for noncompliance by a motor vehicle retail dealer are provided.

Appropriation:    none

Revenue:    yes

Fiscal Note:      requested February 20, 1989