Chapter 183

SENATE BILL No. 531
(Amends Chapter 38)
(Amended by Chapter 253)

An Act relating to waste; concerning fees paid by off-site hazardous waste treatment and disposal facilities; relating to the statewide coordinator of waste reduction, recycling and market development; amending K.S.A. 1995 Supp. 65-3431 and repealing the existing section; also repealing K.S.A. 1995 Supp. 65-3424f, as amended by section 1 of 1996 House Bill No. 2620.

Be it enacted by the Legislature of the State of Kansas:

Section 1. K.S.A. 1995 Supp. 65-3431 is hereby amended to read as follows: 65-3431. The secretary is authorized and directed to: (a) Adopt such rules and regulations, standards and procedures relative to hazard- ous waste management as may be necessary to protect the public health and environment and enable the secretary to carry out the purposes and provisions of this act.

(b) Report to the legislature on further assistance needed to admin- ister the hazardous waste management program.

(c) Administer the hazardous waste management program pursuant to provisions of this act.

(d) Cooperate with appropriate federal, state, interstate and local units of government and with appropriate private organizations in carry- ing out the duties under this act.

(e) Develop a statewide hazardous waste management plan.

(f) Provide technical assistance, including the training of personnel, to industry, local units of government and the hazardous waste manage- ment industry to meet the requirements of this act.

(g) Initiate, conduct and support research, demonstration projects, and investigations and coordinate all state agency research programs with applicable federal programs pertaining to hazardous waste management.

(h) Establish policies for effective hazardous waste management.

(i) Authorize issuance of such permits and orders, conduct inspec- tions and collect samples or require information and copy records or data as may be necessary to implement the provisions of this act and the rules and regulations and standards adopted pursuant to this act.

(j) Conduct and contract for research and investigations in the overall area of hazardous waste storage, collection, transportation, treatment, re- covery and disposal including, but not limited to, new and novel proce- dures.

(k) Adopt rules and regulations establishing criteria for identifying the characteristics of hazardous waste and for listing hazardous waste. The secretary shall prepare and keep current a listing of hazardous wastes and set of characteristics based on the rules and regulations adopted pur- suant to this subsection. The listing shall identify, but need not be inclu- sive of, all the hazardous waste subject to the provisions of this act. The criteria for identification and listing shall be consistent with the criteria for identification and listing adopted by the administrator of the United States environmental protection agency under the authority vested in the administrator by the Resource Conservation and Recovery Act of 1976 (42 USC 6921) as amended by the Solid Waste Disposal Act of 1980 (P.L. 94-482, October 21, 1980), and as amended by the Hazardous and Solid Waste Act of 1984 (P.L. 98-616, November 8, 1984).

(l) Adopt rules and regulations establishing: (1) Appropriate measures for monitoring generators, transporters and facilities during operation, closure, and after closure of such facilities to insure compliance with the rules and regulations adopted under this act and any permit issued under this act; (2) procedures to suspend operation of such generators, trans- porters or facilities as may be required to protect the public health and safety or the environment; and (3) appropriate measures to insure that any use of a hazardous waste disposal facility after closure will not en- danger the public health or safety or the environment.

(m) Adopt rules and regulations establishing standards for hazardous waste generators including, but not limited to, notification of hazardous waste generation, reporting, recordkeeping, labeling, containerization, source separation, storage, manifests, monitoring, sampling and analysis and manner of filing notifications, reports and manifests.

(n) Adopt rules and regulations prescribing the form of the manifest and requiring such manifest to accompany any hazardous waste collected, transported, treated, recovered or disposed of, and prescribing the con- tents of the manifest which shall include, but not be limited to, the quan- tity and composition of the hazardous waste, generator, transporter, des- tination, facility and the manner of signing and filing of the manifest and for the maintenance of records.

(o) Adopt rules and regulations establishing standards for routes used for transporting hazardous waste within the state with the concurrence of the state corporation commission. Such standards shall be consistent with those of the United States department of transportation and the state corporation commission, with respect to transportation of hazardous ma- terials. Motor vehicles which are used for the transportation of hazardous waste in accordance with this act shall be exempt from the requirements of K.S.A. 66-1,108 et seq. and amendments thereto, and any rules and regulations adopted thereunder pertaining to routes which shall be under the jurisdiction of the secretary as provided in this act including any rules and regulations adopted thereunder. Otherwise such motor vehicles shall be subject to the requirements of K.S.A. 66-1,108 et seq. and amendments thereto, and any rules and regulations adopted thereunder.

(p) Adopt rules and regulations establishing standards for transport- ers of hazardous waste including, but not limited to, notification of haz- ardous waste transport, manifests, labeling, recordkeeping and the filing of reports.

(q) Adopt rules and regulations establishing standards and procedu- res to protect public health and the environment from any release of hazardous waste into the environment and to insure the prompt correc- tion of any such release and damage resulting therefrom by the person transporting, handling or managing such hazardous waste.

(r) Adopt rules and regulations requiring that, for such period of time as the secretary shall specify, any assignment, sale, conveyance or transfer of all or any part of the real property upon which a hazardous waste treatment, storage or disposal facility is or has been located shall be sub- ject to such terms and conditions as to the use of such property as the secretary shall specify to protect human health and the environment.

(s) Adopt rules and regulations establishing a permit system which includes standards for facilities and procedures for implementation of a permit system for the construction, alteration, or operation of a hazardous waste treatment, storage or disposal facility including, but not limited to, content of applications, evidence of financial responsibility, existing hy- drogeological characteristics, environmental assessment, training of per- sonnel, maintenance of operations, qualifications of ownership, continuity of operation, public notification and participation and compliance with those standards established pursuant to subsection (t).

(t) Adopt rules and regulations establishing minimum standards for the design, location, construction, alteration, operation, termination, clos- ing and long-term care of facilities for the treatment, storage or disposal of hazardous waste including, but not limited to, notification of hazardous waste treatment, storage or disposal, general facility standards, contin- gency plans, emergency procedures, manifest system, recordkeeping, in- spections, monitoring, reporting, closure and postclosure plans and fi- nancial requirements. The operator of the facility shall be responsible for long-term care of the facility for 30 years after closure of the facility except that the secretary may modify the long-term care requirements for any facility when all hazardous waste is removed from the facility at closure. The secretary may extend the long-term care responsibility of any oper- ator of a facility as the secretary may deem necessary to protect the public health and safety or the environment. Any person acquiring rights of possession or operation of any facility permitted by the secretary for the treatment, storage or disposal of hazardous waste at any time after the facility has begun to accept waste and prior to the end of the required period of long-term care shall be subject to all of the requirements, terms and conditions of the permit for the facility including all requirements relating to long-term care of the facility. The sale or acquisition of a hazardous waste disposal facility during the long-term care period shall be subject to the assignment of long-term care responsibilities as deter- mined by the secretary.

(u) Adopt rules and regulations establishing a schedule of annual fees to be paid to the secretary by: (1) Persons owning or operating hazardous waste treatment, storage or disposal facilities; (2) hazardous waste trans- porters; or (3) hazardous waste generators producing or bringing into existence hazardous waste in Kansas. The fees shall be for monitoring facilities both during and after operation, for monitoring generators of hazardous waste in Kansas and for monitoring the transportation of haz- ardous wastes. The fees shall be sufficient to reimburse the cost of the state in performing these monitoring responsibilities. The fee established under this subsection for each hazardous waste facility shall not exceed $50,000 annually. In setting fees, the secretary may exempt those fees which would be payable by generators for hazardous waste which is treated to recover substantial amounts of either energy or materials from hazardous wastes. The secretary shall remit at least monthly any moneys collected from such fees to the state treasurer. Upon receipt of any such remittance, the state treasurer shall deposit the entire amount thereof in the state treasury to the credit of the state general fund.

(v) (1) Adopt rules and regulations establishing a schedule of fees to be paid to the secretary by permittees operating hazardous waste disposal facilities. In establishing fees, the secretary shall give consideration to degree of hazard, costs of treatment and disposal, estimated future re- ceipts and estimated future expenses to the state for monitoring, main- tenance and supervision of the facilities after closure. Fees shall be in an amount of not to exceed $.01 per pound of hazardous waste disposed of. Each permittee, as an advance payment of the fees authorized under this subsection, shall remit to the secretary an amount to be established by the secretary not to exceed $25,000 upon request and notification by the secretary that an initial application for a permit or initial renewal thereof has been approved, subject to receipt of the advance payment. Com- mencing with the second renewal, no advance payment shall be required. The advance payment shall constitute a credit against any fee which may be assessed pursuant to this subsection.

(2) The secretary shall remit at least monthly any moneys collected pursuant to this subsection to the state treasurer. Upon receipt of any such remittance, the state treasurer shall deposit the entire amount thereof in the state treasury to the credit of the hazardous waste perpetual care trust fund, which fund is hereby limited to the following uses: (A) Payment of extraordinary costs of monitoring a permitted hazardous waste disposal facility after the responsibility of the operator has termi- nated; (B) payment of costs of repairing a hazardous waste disposal fa- cility, as a result of a postclosure occurrence which poses a substantial hazard to public health or safety or to the environment. If an expenditure made under this subsection would not have been necessary had the per- son responsible for the operation or long-term care of the permitted haz- ardous waste disposal facility complied with the requirements of a plan of operation approved by the secretary when the permit was issued, a cause of action in favor of the hazardous waste perpetual care trust fund shall be accrued to the state of Kansas against such person, and the sec- retary shall take such action as is appropriate to enforce this cause of action by recovering any amounts so expended. The net proceeds of any such recovery shall be deposited in the state treasury and credited to the hazardous waste perpetual care trust fund; and (C) on an emergency basis up to 20% of the balance in the hazardous waste perpetual care trust fund may be allocated for investigation, engineering and construction related to the removal, treatment and disposal of hazardous waste disposed of in any hazardous waste disposal facility, when such hazardous waste is found to pose an imminent and substantial risk to the public health or safety or the environment.

(3) On or before the 10th day of each month, the director of accounts and reports shall transfer from the state general fund to the hazardous waste perpetual care trust fund the amount of money certified by the pooled money investment board in accordance with this paragraph. Prior to the 10th day of each month, the pooled money investment board shall certify to the director of accounts and reports the amount of money equal to the proportionate amount of all the interest credited to the state gen- eral fund for the preceding month, pursuant to K.S.A. 75-4210a and amendments thereto, that is attributable to moneys in the hazardous waste perpetual care trust fund. Such amount of money shall be deter- mined by the pooled money investment board based on: (A) The average daily balance of moneys in the hazardous waste perpetual care trust fund during the preceding month as certified to the board by the director of accounts and reports; and (B) the average interest rate on repurchase agreements of less than 30 days' duration entered into by the pooled money investment board for that period of time. On or before the fifth day of each month, the director of accounts and reports shall certify to the pooled money investment board the average daily balance of moneys in the hazardous waste perpetual care trust fund during the preceding month.

(4) All expenditures from the hazardous waste perpetual care trust fund shall be made in accordance with appropriation acts upon warrants of the director of accounts and reports issued pursuant to vouchers ap- proved by the secretary for the purposes set forth in this subsection.

(w) (1) Adopt rules and regulations establishing a schedule of fees to be paid to the secretary by applicants for permits to construct, modify or operate a hazardous waste facility. The fees established under this sub- section shall not exceed $175,000 for each application submitted. These fees shall be based upon resources required to review the application, the type of facility, quantity of waste processed, type of waste processed, degree of hazard and potential impact upon human health and environ- ment. Fees collected under this subsection shall be used by the secretary to recover the costs associated with the review and processing of the permit application for which the fee was paid.

(2) The secretary shall remit at least monthly any money collected pursuant to this subsection to the state treasurer. Upon receipt of any such remittance, the state treasurer shall deposit the entire amount thereof in the state treasury to the credit of the environmental permit fund, which fund is hereby established in the state treasury. Moneys in the environmental permit fund may be expended for the following pur- poses: (A) Technical reviews of applications for permits including permit modifications and permit renewals for hazardous waste facilities; (B) eval- uating options available for minimizing the generation of hazardous wastes; (C) completing background investigations of applicants pursuant to subsection (c) of K.S.A. 65-3437 and amendments thereto; (D) com- pleting the site investigations pursuant to subsection (d) of K.S.A. 65- 3437 and amendments thereto; or (E) assuring that the permittee fulfills all permit conditions during the effective period of the permit.

(3) On or before the 10th day of the month following the month in which moneys are first credited to the environmental permit fund, and monthly thereafter on or before the 10th day of the month, the director of accounts and reports shall transfer from the state general fund to the environmental permit fund, the amount of money certified by the pooled money investment board in accordance with this paragraph. Prior to the 10th day of the month following the month in which moneys are first credited to the environmental permit fund, and monthly thereafter prior to the 10th day of the month, the pooled money investment board shall certify to the director of accounts and reports the amount of money equal to the proportionate amount of all the interest credited to the state gen- eral fund for the preceding month, pursuant to K.S.A. 75-4210a and amendments thereto, that is attributable to moneys in the environmental permit fund. Such amount of money shall be determined by the pooled money investment board based on: (A) The average daily balance of mon- eys in the environmental permit fund during the preceding month as certified to the board by the director of accounts and reports; and (B) the average interest rate on repurchase agreements of less than 30 days' du- ration entered into by the pooled money investment board for that period of time. On or before the fifth day of the month following the month in which moneys are first credited to the environmental permit fund, and monthly thereafter on or before the fifth day of the month, the director of accounts and reports shall certify to the pooled money investment board the average daily balance of moneys in the environmental permit fund during the preceding month.

(4) All expenditures from the environmental permit fund shall be made in accordance with appropriation acts upon warrants of the director of accounts and reports issued pursuant to vouchers approved by the secretary for the purposes set forth in this subsection.

(x) (1) Adopt rules and regulations establishing a schedule of fees to be paid to the secretary by off-site hazardous waste treatment and disposal facilities. In establishing fees, the secretary shall give consideration to the degree of hazard, energy content, quantity of waste, costs of treatment or disposal, and estimated future receipts. Fees shall be in an amount not to exceed $.01 per pound of hazardous waste treated, except that in no event shall the fees established under this subsection for treatment of hazardous waste exceed a total amount of $200,000 per year for any single facility. Fees shall be in an amount not to exceed $.01 per pound of hazardous waste burned by any facility which recycles and utilizes haz- ardous waste primarily to recover useful energy or materials to be used in the manufacture of a product, including but not limited to the burning of hazardous waste in kilns to recover energy or materials for use in the commercial production of cement, except that in no event shall the fees established under this subsection for burning of hazardous waste by any such facility exceed a total amount of $50,000 per year for any single facility. or burned for energy or material recovery. In no event shall the fees established under this subsection exceed the following annual calen- dar year caps: $60,000 for a facility which burns hazardous waste for energy or material recovery only; $200,000 for a facility which burns hazardous waste for treatment or disposal only. Facilities which burn hazardous waste for: (i) Energy or material recovery; and (ii) treatment or disposal shall be subject to a total facility cap of $200,000, which in- cludes a separate cap of $60,000 for hazardous wastes which are burned for energy or material recovery. The secretary shall establish a differential fee schedule for hazardous wastes based upon waste characteristics which is consistently applied to all facilities which burn hazardous wastes. In all other cases, fees shall be in an amount not to exceed $.05 per pound of hazardous waste disposed of except that in no event shall any fee be established under this exception prior to July 1, 1996, and which exceeds $50,000 in any 12-month period for the treatment or disposal of hazard- ous waste at any facility if such facility: (A) Operates under a permit or permits granted by the secretary pursuant to K.S.A. 65-3430 et seq., and amendments thereto; (B) treats or disposes of hazardous waste generated by such facility or a single generator located on property contiguous to such facility, or both; and (C) was treating or disposing of hazardous waste generated on such contiguous property as of July 1, 1991, with the knowl- edge of the secretary. In establishing the amount of fees pursuant to the immediately preceding exception, the secretary shall base the same upon the degree of hazard, quantity of waste, costs of treatment or disposal, estimated receipts for disposal services and waste reduction efforts of such facility.

(2) The secretary shall remit at least monthly any money collected pursuant to this subsection to the state treasurer. Upon receipt of any such remittance, the state treasurer shall deposit the entire amount thereof in the state treasury to the credit of the environmental permit fund, except that 25% of any such deposit shall be deposited to the credit of the hazardous waste collection fund.

(y) Encourage, coordinate or participate in one or more waste exchange clearing houses for the purpose of promoting reuse and recy- cling of industrial wastes.

(z) Adopt rules and regulations establishing the criteria to specify when a change of principal owners or management of a hazardous waste treatment, storage or disposal facility occurs and under what circum- stances and procedures a new permit shall be required to be issued to the transferees of a facility which was permitted to the transferor.

(aa) Adopt rules and regulations concerning the generation, trans- portation, storage, blending, marketing, burning and types of hazardous waste for which any method, technique or process to recover energy will be considered hazardous waste treatment. Such rules and regulations should specify a minimum heat value of the waste so as to ensure that a legitimate energy recovery will occur and should consider other charac- teristics of the waste which are appropriate to ensure that such method, technique or process for energy recovery will not pose a threat to the public health or environment.

Sec. 2. K.S.A. 1995 Supp. 65-3431 and K.S.A. 1995 Supp. 65-3424f, as amended by section 1 of 1996 House Bill No. 2620, are hereby re- pealed.

Sec. 3. This act shall take effect and be in force from and after its publication in the statute book.

Approved April 20, 1996.