SENATE BUDGET AND APPROPRIATIONS COMMITTEE

 

STATEMENT TO

 

[First Reprint]

SENATE, No. 1683

 

STATE OF NEW JERSEY

 

DATED:  JUNE 17, 2019

 

      The Senate Budget and Appropriations Committee reports favorably Senate Bill No. 1683 (1R).

Senate Bill No. 1683 (1R) amends existing law to expand the requirement for background checks to a broader range of persons involved in the solid waste industry, such as sales persons, consultants, and brokers.  The bill also subjects persons or business concerns engaged in soil and fill recycling services to the same regulation and oversight under the law as that which applies to the solid waste industry.

      Under the bill “soil and fill recycling services” means the collection, transportation, processing, brokering, storage, purchase, sale, or disposition of soil and fill recyclable material.  “Soil and fill recyclable material” means non-putrescible aggregate substitute, including broken or crushed brick, block, concrete, or other similar manufactured materials; soil or soil that may contain aggregate substitute or other debris or material, generated from land clearing, excavation, demolition, or redevelopment activities that would otherwise be managed as solid waste, and that may be returned to the economic mainstream in the form of raw materials for further processing or for use as fill material.  “Soil and fill recyclable material” would not include: (1) Class A recyclable material (i.e., metal, glass, paper, plastic containers, and corrugated cardboard); (2) Class B recyclable material, such as construction and demolition debris, that is shipped to a Class B recycling center approved by the Department of Environmental Protection (DEP); (3) beneficial use material for which the generator has obtained prior approval from the DEP to transport to an approved and designated destination; and (4) virgin quarry products.

      The bill requires any business concern that actively engages in, or otherwise provides soil and fill recycling services to register with the DEP no later than 90 days after the date of enactment of the bill.  The bill establishes the information that must be provided in the registration form.  No more than 90 days after submission of a registration form, the DEP would be required to issue a temporary soil and fill recycling registration to the business concern.  No more than 270 days after the effective date of the bill, a registrant would be required to submit an application for a soil and fill recycling license with the Attorney General.  A soil and fill recycling registration issued under the bill would expire upon a failure by the registrant to submit an application for a soil and fill recycling license or upon a final determination by the DEP regarding the registrant’s application.  The soil and fill recycling registration would authorize a registrant to provide soil and fill recycling services pending the approval or denial of the registrant’s application.  The bill would prohibit a business concern from engaging in soil and fill recycling services without a soil and fill recycling registration, soil and fill recycling license, or a prior approval issued by the department pursuant to P.L.1983, c.392 (C.13:1E-126 et seq.).  The registration program established in the bill is temporary in nature, and any business concern that seeks to engage in soil and fill recycling services later than 90 days after the effective date of the bill that has not submitted a registration form would be required to file an application for a soil and fill recycling license.

      The bill prohibits the issuance of an A901 approval to persons debarred from operating in other states, and prohibits individuals otherwise deemed unsuitable for the solid waste or recycling industries, convicted felons, and others of questionable character from holding an indirect, non-licensed stake in a solid waste or recycling industry (for example, those involved in vehicle leasing arrangements or property rental agreements with legitimate licensees).

      The bill requires the DEP, the Department of the Treasury, and the Attorney General to enter into a memorandum of agreement to provide for a reciprocal information exchange method to provide each agency with more effective and efficient access to information on the solid waste and soil and fill recycling industries and their license and permit holders and license and permit applicants, and to facilitate appropriate sharing of such information among relevant government agencies in New Jersey and elsewhere.  The bill requires the Attorney General to establish a reciprocal information exchange method with the State of New York and other states in the region to facilitate sharing of information on the solid waste and soil and fill recycling industries among the states in the region.  The bill also requires the establishment of a centralized list in the Department of the Treasury of individuals and corporate entities who have been debarred by various State agencies from participation in a number of regulated industries apart from solid waste and recycling, such as construction, the casino gaming industry, and transportation.  This requirement ensures that the status of persons and businesses deemed unfit to work under one agency’s purview is made known to all other appropriate agencies.

 

FISCAL IMPACT:

      The Office of Legislative Services (OLS) estimates the State would incur an indeterminate increase in costs to establish and administer the reciprocal information exchange system and centralized debarment list required by the bill.

      The OLS also estimates additional ongoing costs of an indeterminate amount from the regulation and oversight of persons and business concerns engaged in soil and fill recycling services, from expanded investigations and background checks on persons in the solid waste and hazardous waste industries, and from the additional regulatory reporting requirements in the bill.

      The OLS anticipates an indeterminate increase in State revenue from application, license, and other fees the Department of Environmental Protection (DEP) may establish to defray licensing costs associated with this bill.