The 2015 Definition of Solid Waste Final Rule (2015 Final
Rule) does not significantly affect the recycling exemption from full RCRA
Subtitle C regulation found at 40 CFR 266.70 for precious metals being
reclaimed in accordance with the 40 CFR 266.70 provisions.
When in the process of revising the 2008 DSW rule,
however, EPA did consider adding the following requirements to what it
identified as 32 pre-2008 exclusions and exemptions, including that at 40 CFR
266.70. In 76 Federal Register (FR) 44139 July, 22, 2011 EPA said:
“Specifically, we are requesting comment on codifying the
legitimate recycling standard in 40 CFR 260.43, additional recordkeeping
requirements in the speculative accumulation standard in 40 CFR 261.1(c)(8),
the contained standard in 40 CFR 260.10, and the notification provision in 40
CFR 260.42 for 32 regulatory provisions that exclude or exempt certain types of
recycling from full Subtitle C regulation.”
However, in Section XIX of the preamble to the 2015 Final
Rule, the EPA stated the following concerning its consideration of adding new
requirements to recycling provisions such as 40 CFR 266.70:
“Regarding legitimacy, in lieu of adding a legitimacy
requirement to the specific recycling exclusions, EPA is instead codifying a
general statement in § 261.2(g) that makes it clear that a hazardous secondary
material found to be sham recycled is discarded and thus, is a solid waste. EPA
finds that this will give implementing agencies a clear regulatory statement
that can be used to enforce against sham recyclers, yet not require the vast
majority of recyclers that are performing legitimate recycling under the
pre-2008 exclusions and exemptions to revisit previously-made legitimacy
determinations….Regarding the contained standard and notification, for reasons
stated above, the Agency is deferring action on applying the contained standard
and notification to the pre-2008 exclusions and exemptions in order to consider
how best to implement these conditions in the context of the case-specific
circumstances of the regulatory provisions.”
EPA also noted : “We have also determined that
documentation of legitimacy is not necessary or required for the pre-2008
recycling exclusions and exemptions, except in the rare case where the
recycling is legitimate, but does not meet factor 4” (which requires that the
product of recycling be comparable to a legitimate product or intermediate).
In sum, while documentation of legitimacy is not now
required of those who recycle precious metals in compliance with 40 CFR 266.70,
the legitimacy standard does apply to this recycling activity (as has always
been the case). Other 2015 Final Rule requirements EPA considered making
directly applicable to pre-2008 recycling exclusions and exemptions (e.g. 40
CFR 266.70) such as the contained standard and notification prior to operating
under a recycling provision have been deferred by EPA for possibly further
consideration.