SF 2619

Introduction - 94th Legislature (2025 - 2026)

Posted on 03/18/2025 09:39 a.m.

A bill for an act
relating to solid waste; exempting paper products from the extended producer
responsibility program managing solid waste; amending Minnesota Statutes 2024,
sections 115A.1441, subdivisions 10, 16, 26; 115A.1442; 115A.1450, subdivision
4; 115A.1451, subdivision 7; 115A.1454, subdivision 1.

BE IT ENACTED BY THE LEGISLATURE OF THE STATE OF MINNESOTA:

Section 1.

Minnesota Statutes 2024, section 115A.1441, subdivision 10, is amended to
read:

Subd. 10.

Covered material.

"Covered material" means packaging deleted text begin and paper products deleted text end
introduced new text begin in this state new text end . Covered material does not include exempt materials.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 2.

Minnesota Statutes 2024, section 115A.1441, subdivision 16, is amended to read:

Subd. 16.

Exempt materials.

"Exempt materials" means materials, or any portion of
materials, that new text begin are new text end :

(1) deleted text begin are deleted text end packaging for infant formula, as defined in United States Code, title 21, section
321(z);

(2) deleted text begin are deleted text end packaging for medical food, as defined in United States Code, title 21, section
360ee(b)(3);

(3) deleted text begin are deleted text end packaging for a fortified oral nutritional supplement used by persons who require
supplemental or sole source nutrition to meet nutritional needs due to special dietary needs
directly related to cancer, chronic kidney disease, diabetes, malnutrition, or failure to thrive,
as those terms are defined by the International Classification of Diseases, Tenth Revision;

(4) deleted text begin are deleted text end packaging for a product regulated as a drug or medical device by the United
States Food and Drug Administration, including associated components and consumable
medical equipment;

(5) deleted text begin are deleted text end packaging for a medical equipment or product used in medical settings that is
regulated by the United States Food and Drug Administration, including associated
components and consumable medical equipment;

(6) deleted text begin are deleted text end drugs, biological products, parasiticides, medical devices, or in vitro diagnostics
that are used to treat, or that are administered to, animals and are regulated by the United
States Food and Drug Administration under the Federal Food, Drug, and Cosmetic Act,
United States Code, title 21, section 301 et seq., by the United States Department of
Agriculture under the federal Virus-Serum-Toxin Act, United States Code, title 21, section
151 et seq.;

(7) deleted text begin are deleted text end packaging for products regulated by the United States Environmental Protection
Agency under the Federal Insecticide, Fungicide, and Rodenticide Act, United States Code,
title 7, section 136 et seq.;

(8) deleted text begin are deleted text end packaging used to contain liquefied petroleum gas and are designed to be refilled;

deleted text begin (9) are paper products used for a newspaper's print publications, including supplements
or enclosures, that include content derived from primary sources related to news and current
events;
deleted text end

deleted text begin (10) are paper products used for a magazine's print publication that has a circulation of
less than 95,000 and that primarily includes content derived from primary sources related
to news and current events;
deleted text end

deleted text begin (11) are deleted text end new text begin (9) new text end packaging used to contain hazardous or flammable products regulated by
the 2012 federal Occupational Safety and Health Administration Hazard Communication
Standard, Code of Federal Regulations, title 29, section 1910.1200, that prevent the packaging
from being waste reduced or made reusable, recyclable, or compostable, as determined by
the commissioner;

deleted text begin (12) are deleted text end new text begin (10) new text end packaging that is being collected and properly managed through a paint
stewardship plan approved under section 115A.1415;

deleted text begin (13) are deleted text end new text begin (11) new text end exempt materials, as determined by the commissioner under section
115A.1453, subdivision 6; or

deleted text begin (14) are deleted text end new text begin (12) new text end covered materials that deleted text begin :
deleted text end

deleted text begin (i) a producer distributes to another producer;
deleted text end

deleted text begin (ii) deleted text end are deleted text begin subsequently used to contain a product, and the product is deleted text end distributed to a
commercial new text begin , institutional, industrial, new text end or business entity deleted text begin for the production of another product; deleted text end
and

deleted text begin (iii) deleted text end are not new text begin subsequently new text end introduced to deleted text begin a deleted text end new text begin any other new text end person deleted text begin other than the commercial or
business entity that first received the product used for the production of another product deleted text end .

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 3.

Minnesota Statutes 2024, section 115A.1441, subdivision 26, is amended to read:

Subd. 26.

Producer.

(a) "Producer" means the following person responsible for
compliance with requirements under sections 115A.144 to 115A.1463 for a covered material
introduced:

(1) for items sold in or with packaging at a physical retail location in this state:

(i) if the item is sold in or with packaging under the brand of the item manufacturer or
is sold in packaging that lacks identification of a brand, the producer is the person that
manufactures the item;

(ii) if there is no person to which item (i) applies, the producer is the person that is
licensed to manufacture and sell or offer for sale to consumers in this state an item with
packaging under the brand or trademark of another manufacturer or person;

(iii) if there is no person to which item (i) or (ii) applies, the producer is the brand owner
of the item;

(iv) if there is no person described in item (i), (ii), or (iii) within the United States, the
producer is the person who is the importer of record for the item into the United States for
use in a commercial enterprise that sells, offers for sale, or distributes the item in this state;
or

(v) if there is no person described in items (i) to (iv), the producer is the person that first
distributes the item in or into this state;

(2) for items sold or distributed in packaging in or into this state via e-commerce, remote
sale, or distribution:

(i) for packaging used to directly protect or contain the item, the producer of the packaging
is the same as the producer identified under clause (1); and

(ii) for packaging used to ship the item to a consumer, the producer of the packaging is
the person that packages the item to be shipped to the consumer;

(3) for packaging that is a covered material and is not included in clauses (1) and (2),
the producer of the packaging is the person that first distributes the item in or into this state; new text begin
and
new text end

deleted text begin (4) for paper products that are magazines, catalogs, telephone directories, or similar
publications, the producer is the publisher;
deleted text end

deleted text begin (5) for paper products not described in clause (4):
deleted text end

deleted text begin (i) if the paper product is sold under the manufacturer's own brand, the producer is the
person that manufactures the paper product;
deleted text end

deleted text begin (ii) if there is no person to which item (i) applies, the producer is the person that is the
owner or licensee of a brand or trademark under which the paper product is used in a
commercial enterprise, sold, offered for sale, or distributed in or into this state, whether or
not the trademark is registered in this state;
deleted text end

deleted text begin (iii) if there is no person to which item (i) or (ii) applies, the producer is the brand owner
of the paper product;
deleted text end

deleted text begin (iv) if there is no person described in item (i), (ii), or (iii) within the United States, the
producer is the person that imports the paper product into the United States for use in a
commercial enterprise that sells, offers for sale, or distributes the paper product in this state;
or
deleted text end

deleted text begin (v) if there is no person described in items (i) to (iv), the producer is the person that first
distributes the paper product in or into this state; and
deleted text end

deleted text begin (6) deleted text end new text begin (4) new text end a person is the producer of a covered material sold, offered for sale, or distributed
in or into this state, as defined in clauses (1) to deleted text begin (5) deleted text end new text begin (3) new text end , except:

(i) where another person has mutually signed an agreement with a producer as defined
in clauses (1) to deleted text begin (5) deleted text end new text begin (3) new text end that contractually assigns responsibility to the person as the producer,
and the person has joined a registered producer responsibility organization as the responsible
producer for that covered material under sections 115A.144 to 115A.1463. In the event that
another person is assigned responsibility as the producer under this subdivision, the producer
under clauses (1) to deleted text begin (5) deleted text end new text begin (3) new text end must provide written certification of that contractual agreement
to the producer responsibility organization; and

(ii) if the producer described in clauses (1) to deleted text begin (5) deleted text end new text begin (3) new text end is a business operated wholly or in
part as a franchise, the producer is the franchisor if that franchisor has franchisees that have
a commercial presence within the state.

(b) "Producer" does not include:

(1) a state, a federal or state agency, a political subdivision, or other governmental unit;

(2) a registered 501(c)(3) charitable organization or 501(c)(4) social welfare organization;

(3) a de minimis producer;

(4) a mill that uses any virgin wood fiber in the products it produces; or

(5) a paper mill that produces container board derived from 100 percent postconsumer
recycled content and nonpostconsumer recycled content.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 4.

Minnesota Statutes 2024, section 115A.1442, is amended to read:

115A.1442 ESTABLISHMENT OF PROGRAM.

Producers must implement and finance a statewide program for packaging deleted text begin and paper
products deleted text end in accordance with sections 115A.144 to 115A.1463 that encourages redesign to
reduce the environmental impacts and human health impacts and that reduces generation
of covered materials waste through waste reduction, reuse, recycling, and composting and
by providing for the collection, transportation, and processing of used covered materials
for reuse, recycling, and composting.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 5.

Minnesota Statutes 2024, section 115A.1450, subdivision 4, is amended to read:

Subd. 4.

Content of needs assessment.

A needs assessment must include at least the
following:

(1) an evaluation of:

(i) existing waste reduction, reuse, recycling, and composting, as applicable, for each
covered materials type, including collection rates, recycling rates, composting rates, reuse
rates, and return rates, as applicable, for each covered materials type;

(ii) overall recycling rate, composting rate, reuse rate, and return rate for all covered
materials; and

(iii) the extent to which postconsumer recycled content, by the best estimate, is or could
be incorporated into each covered materials type, as applicable, including a review of market
and technical barriers to incorporating postconsumer materials into covered materials;

(2) an evaluation of covered materials in the disposal, recycling, and composting streams
to determine the covered materials types and amounts within each stream, using new studies
conducted by the commissioner or publicly available and applicable studies;

(3) proposals for a range of outcomes for each covered materials type to be accomplished
within a five-year time frame in multiple units of measurement, including but not limited
to unit-based, weight-based, and volume-based, for each of the following:

(i) waste reduction;

(ii) reuse rate and return rates;

(iii) recycling rates;

(iv) composting rates; and

(v) postconsumer recycled content, if applicable;

(4) proposals for a range of outcomes for the categories established in section 115A.1451,
subdivision 7, that consider:

(i) information contained in or used to prepare a needs assessment according to this
subdivision;

(ii) goals and requirements of the Waste Management Act;

(iii) statewide goals for greenhouse gas emission reductions under section 216H.02;

(iv) the need for continuous progress toward overall reduction in the generation of
covered materials waste and the complete reuse, recycling, or composting of covered
materials to reduce environmental impacts and human health impacts;

(v) a preference for statewide requirements that accomplish and further the goals and
requirements in items (ii) to (iv) as soon as practicable and to the maximum extent achievable;
and

(vi) information from packaging deleted text begin and paper product deleted text end producer responsibility programs
operating in other jurisdictions;

(5) an evaluation of the factors for each covered material collected for recycling or
composting as established in section 115A.1453, subdivision 4;

(6) recommended collection methods by covered materials type to maximize collection
efficiency, maximize feedstock quality, and optimize service and convenience for collection
of covered materials to be considered or that are included on lists established in section
115A.1453;

(7) proposed plans and metrics for how to measure progress in achieving performance
targets and statewide requirements;

(8) an evaluation of options for third-party certification of activities to meet obligations
of sections 115A.144 to 115A.1463;

(9) an inventory of the current system, including:

(i) infrastructure, capacity, performance, funding level, and method and sources of
financing for the existing covered services for covered materials operating in the state;

(ii) an estimate of total annual costs of covered services based on registered service
provider costs; and

(iii) availability and cost of covered services for covered materials to covered entities
and any other location where covered materials are introduced, including identification of
disparities in the availability of these services in environmental justice areas compared with
other areas and proposals for reducing or eliminating those disparities;

(10) an evaluation of investments needed to increase waste reduction, reuse, recycling,
and composting rates of covered materials according to the range of proposed performance
targets and statewide requirements, including investments in existing and new infrastructure
that would also:

(i) maintain or improve operations of existing infrastructure and accounts for waste
reduction, reuse, recycling, and composting of covered materials statewide;

(ii) expand the availability and accessibility of recycling collection services for recyclable
covered materials to all covered entities to optimize service and convenience; and

(iii) establish and expand the availability and accessibility of reuse services for reusable
covered materials;

(11) a recommended methodology for applying criteria and formulas to establish
reimbursement rates as described in section 115A.1455;

(12) an assessment of the viability and robustness of markets for recyclable covered
materials and the degree to which these markets can be considered responsible markets;

(13) an assessment of the level and causes of contamination of source-separated recyclable
materials, source-separated compostable materials and collected reusables, and the impacts
of contamination on service providers, including the cost to manage this contamination;

(14) an assessment of toxic substances intentionally added to covered materials, whether
this limits one or more covered materials types from being used as a marketable feedstock,
and best practices producers can implement to reduce intentionally added toxic substances
in covered materials that could be verified through suppliers certificates of compliance,
testing, or other analytical and scientifically demonstrated methodology;

(15) an assessment of current best practices to increase public awareness, educate, and
complete outreach activities accounting for culturally responsive materials and methods
and an evaluation of the efficacy of these efforts, including assessments and evaluations of
current best practices and efforts on:

(i) using product or packaging labels as a means of informing consumers about
environmentally sound use and management of covered materials;

(ii) increasing public awareness of how to use and manage covered materials in an
environmentally sound manner and how to access waste reduction, reuse, recycling, and
composting services; and

(iii) encouraging behavior change to increase participation in waste reduction, reuse,
recycling, and composting programs;

(16) identification of the covered materials with the most significant environmental
impact, including assessing each covered material's generation of hazardous waste, generation
of greenhouse gases, environmental justice impacts, public health impacts, and other impacts;

(17) recommendations for meeting the criteria for an alternative collection program as
established in section 115A.1451, subdivision 8; and

(18) other items identified by the commissioner that would aid the creation of the
stewardship plan, its administration, and the enforcement of sections 115A.144 to 115A.1463.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 6.

Minnesota Statutes 2024, section 115A.1451, subdivision 7, is amended to read:

Subd. 7.

Statewide requirements.

(a) The commissioner must establish statewide
requirements and the date by which they must be met for the following categories:

(1) recycling rate;

(2) composting rate;

(3) reuse rate;

(4) return rate;

(5) the percentage of covered materials introduced that must be waste reduced; and

(6) the percentage of postconsumer recycled content that covered materials must contain,
including an overall percentage for all covered materials, as applicable, excluding
compostable materials that cannot include postconsumer recycled content due to unique
chemical or physical properties or health and safety requirements that prohibit introduction
of postconsumer recycled content.

(b) The commissioner may use the following information and criteria when establishing
statewide requirements under paragraph (a):

(1) needs assessments under section 115A.1450;

(2) goals and requirements of the Waste Management Act;

(3) statewide goals for greenhouse gas emission reductions under section 216H.02;

(4) the need for continuous progress toward overall reduction in the generation of covered
materials waste and the complete reuse, recycling, or composting of covered materials to
reduce environmental impacts and human health impacts;

(5) a preference for statewide requirements that accomplish and further the goals and
requirements in clauses (2) to (4) as soon as practicable and to the maximum extent
achievable; and

(6) information from packaging deleted text begin and paper product deleted text end producer responsibility programs
operating in other jurisdictions.

(c) The commissioner must consult with the producer responsibility organization on
establishing statewide requirements, submit proposed statewide requirements for review
by the board, and consider the board's recommendations before finalizing the statewide
requirements.

(d) Every five years, the commissioner must review the statewide requirements established
under paragraph (a). If the commissioner decides an update is not warranted at that time,
the commissioner must submit the reasoning to the advisory board and consider the board's
recommendations before making a final decision. If the commissioner decides an update is
warranted, the process in paragraphs (b) and (c) must be utilized.

(e) The producer responsibility organization must ensure the statewide requirements are
met.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end

Sec. 7.

Minnesota Statutes 2024, section 115A.1454, subdivision 1, is amended to read:

Subdivision 1.

Annual fee.

A producer responsibility organization must annually collect
a fee from each member producer that must:

(1) vary based on the total amount of covered materials each producer introduces in the
prior year calculated on a per-unit basis, such as per ton, per item, or another unit of
measurement;

(2) reflect the program costs for each covered materials type, net of commodity value
for that covered materials type, as well as allocated fixed costs that do not vary based on
covered materials type;

(3) incentivize using materials and design attributes that reduce the environmental impacts
and human health impacts of covered materials by:

(i) eliminating intentionally added toxic substances in covered materials;

(ii) reducing the amount of deleted text begin :
deleted text end

deleted text begin (A) deleted text end packaging per individual covered material that is necessary to efficiently deliver a
product without damage or spoilage and without reducing its ability to be recycled; deleted text begin and
deleted text end

deleted text begin (B) paper used to manufacture individual paper products;
deleted text end

(iii) increasing the amount of covered materials managed in a reuse system;

(iv) increasing the proportion of postconsumer material in covered materials;

(v) enhancing the recyclability or compostability of a covered material; and

(vi) increasing the amount of inputs derived from renewable and sustainable sources;

(4) discourage using materials and design attributes in covered materials whose
environmental impacts and human health impacts can be reduced by the methods listed
under clause (3);

(5) prioritize reuse by charging covered materials that are managed through a reuse
system only once, upon initial entry into the marketplace; and

(6) generate revenue sufficient to pay in full:

(i) the fee required under section 115A.1443;

(ii) financial obligations to complete activities described in an approved stewardship
plan and to reimburse service providers under section 115A.1455;

(iii) the operating costs of the producer responsibility organization; and

(iv) for establishment and maintenance of a financial reserve that is sufficient to operate
the program in a fiscally prudent and responsible manner.

new text begin EFFECTIVE DATE. new text end

new text begin This section is effective the day following final enactment.
new text end