* Are your computer recycling efforts in line with the law?
A few weeks ago, I wrote about recycling or otherwise disposing of old computer equipment. The gist of my article was basically how to get those old bones out of your offices in an efficient and hopefully environmentally-friendly manner. I’ve since had my eyes opened to a whole new issue concerning computer disposal: liability under the Resource Conservation and Recovery Act. This is a must-read article to protect your company from legal liability and potentially very large fines.
The RCRA of 1976 gave the U.S. Environmental Protection Agency (EPA) the authority to control hazardous waste from “cradle-to-grave.” This includes the generation, transportation, treatment, storage and disposal of hazardous waste. Guess what, folks? Most if not all of your computer and telecommunications equipment is covered under this law because of materials such as lead, mercury and cadmium contained within the confines of the computer cabinet.
You might think that turning your old equipment over to a recycling agency would negate your liability for the hazardous materials. Most likely it doesn’t, unless you specifically include this in your contract with the agency. According to the RCRA law, if the EPA discovers computer materials that have been improperly discarded – say, in a landfill – the items easily can be traced back to your company by the serial number and you can be fined tens or hundreds of thousands of dollars. The EPA can levy fines of up to $15,000 per incident and $25,000 per day. In addition to the fines, consider the cost of damage to your organization’s reputation when the story hits the news.
There is a Rhode Island company called Green-Tech Assets that specifically deals with the risk management end of computer disposal. Green-Tech Assets (GTA) is not a recycling company; rather, this company provides you with peace of mind by assuming legal liability of the equipment that you want to discard. GTA works in partnership with law firms and an insurance company to ensure that GTA clients are never held responsible for the disposal of electronic waste.
According to Senior Vice President Robert Petrosini, most GTA clients engage his company because they want to have the risk of fines and legal actions taken away with the old equipment. Each contract with GTA is developed as a proprietary service-level agreement, dictated by your needs. Along with the typical disposal services – such as removing asset tags and cleaning the hard drives to Department of Defense standards – GTA also provides insurance coverage and management reports that verify the transfer of assets to GTA. If by some chance one of your old PCs ends up in a dumpster and the EPA decides to prosecute, GTA assumes all financial and legal liability, and your company name and reputation are never sullied.
Is getting caught for improper disposal really a concern? Yes, says Petrosini, and it is becoming more common as the tons of computer junk begin to mount. According to the U.S. Environmental Protection Agency and the National Safety Council:
* More than 2 million tons of electronic waste ends up in landfills each year.
* By 2005, 250 million computers will become obsolete.
* The average consumer has two to three computers in storage, awaiting disposal.
The EPA is cracking down on corporations and other large entities that violate the law. In 2000, AT&T was fined $195,000 for failing to comply with RCRA requirements in its disposal practices. An employee turned the company in for throwing old monitors in the trash. According to Green-Tech, a New York college was fined over $100,000 in June 2003 for improperly disposing of CRT monitors, and an individual student at Bates College was held responsible and fined $2,500 when he threw his computer monitor out his dorm window, resulting in hazardous materials being spread all over the sidewalk.
Petrosini says it’s very common for companies to just store old PCs rather than disposing of them. Depending on your location, the cost of storage can easily exceed the cost of safe disposal of the equipment. What’s more, Petrosini points out that storing such equipment for more than a year can be illegal, as it can be considered the storage of hazardous waste. Thus, even hanging on to your e-junk can pose a risk as well as incur costs.
So if your company is hanging on to those old dogs that just won’t hunt anymore, it’s time to formulate a plan to safely and legally dispose of them. And don’t forget to mitigate your risk of liability in the process.
Linda Musthaler is vice president of Currid & Company. You can write to her at mailto:Linda.Musthaler@currid.com
