ELECTRONIC DEVICE FEES; FEE SUNSETS                                                       S.B. 448:

                                                                                                    SUMMARY OF BILL

                                                                                     REPORTED FROM COMMITTEE

Senate Bill 448 (as reported without amendment)

Sponsor:  Senator Jeff Irwin

House Committee:  Appropriations

Senate Committee:  Appropriations

CONTENT

The bill would amend the Natural Resources and Environmental Protection Act to extend the sunset on two types of permit fees collected by the Department of Environmental, Great Lakes, and Energy (EGLE).

· Electronic Device Manufacturer Registration Fee. A fee of $3,000 per year is paid by manufacturers of covered electronic devices, typically computers, printers and other video display devices. Under current law, these fees will sunset on October 1, 2019; the bill would delay the sunset until October 1, 2023.

· Electronic Device Recycler Registration Fee. An annual fee of $2,000 is paid by those engaged in the business of recycling electronic devices. Under current law, these fees will sunset on October 1, 2019; the bill would delay the sunset until October 1, 2023.

MCL 324.17303 & 324.17317.                                                                                   

FISCAL IMPACT

The bill would have a positive fiscal impact on EGLE and no fiscal impact on local units of government. The bill would prevent EGLE from losing approximately $280,000 in fee revenue each year. Revenue from the fees affected by the bill is credited to the Electronic Waste Recycling Fund as detailed in the table below, and is used to offset the costs related to permit review and other costs incurred by the EGLE.

The fiscal year 2019-2020 EGLE budget as passed from the Senate Appropriations Committee assumes the Department will be able to collect these fees at their current levels. The table below provides additional detail on the fee sunsets that would be extended by the bill.

Fee Type	Restricted Fund	Revenue Loss Prevented Under Bill
Electronic Device Manufacturer Fees	Electronic Waste Recycling Fund	230,000
Electronic Device Recycler Registration Fee		$50,000
Total		$280,000

Date Completed:  8-28-19                                                 Fiscal Analyst:  Abbey Frazier

This analysis was prepared by nonpartisan Senate staff for use by the Senate in its deliberations and does not constitute an official statement of legislative intent.