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Energy and Environment Cabinet Intends to Seek Reauthorization of Waste Tire Fee

12.01.2011

The Waste Tire Trust Fund was created in 1998 to eliminate existing waste tire piles and prevent future piles.  Funding comes from a $1 fee on the sale of all new motor vehicle tires sold in Kentucky.  The fee is authorized by KRS 224.50-868.  The fund is used to conduct waste tire amnesty programs, award crumb rubber grants, and facilitate market development for the use of waste tires.  Kentucky reuses 95 percent of its waste tires compared to 89 percent nationally.  Seventy percent of Kentucky’s waste tires are sent to the tire-derived fuel market and 17 percent are sent to the ground rubber market.

The tire fee was set to expire on July 31, 2010.  Although the Division of Waste Management (DWM) proposed reauthorization of the fee during the 2010 legislative session, the new-tire fee was not extended during the regular session.  Later, the fee was extended as part of the budget bill.  The fee will continue to be collected until June 30, 2012.

The Cabinet intends to seek reauthorization of the waste tire fee through July 1, 2016.  A further extension is required to conduct additional waste tire amnesties and continue market development for waste tires.


To view a complete PDF of the Third/Fourth Quarter 2011 issue of the Environmental Letter, click HERE.

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