(a) By January 1, 2018, the Arkansas Department of Environmental Quality shall establish the Used Tire Recycling and Accountability Program to:
(1) Reimburse used tire programs for used tire recycling and disposal costs;
(2) Incentivize recycling used tires collected under this subchapter;
(3) Provide accountability for the disbursement of moneys to used tire programs; and
(4) Otherwise improve the sustainability of used tire programs.
(b) To be eligible for reimbursements under this subchapter, a used tire program shall:
(1) Be included in the solid waste management system under § 8-9-101 et seq. for each regional solid waste management district that the used tire program serves;
(2) Have a used tire management plan for each regional solid waste management district that the used tire program serves to include without limitation a schedule for identification and cleanup of waste tire sites that is updated until abatement of each identified waste tire site is completed;
(3) Be included in each regional solid waste management district's recycling program under § 8-9-203 that the used tire program serves;
(4) If operated by a political subdivision of the state or other public entity:
(A) Use the financial management system under § 14-21-101 et seq.;
(B) Comply with the county purchasing procedures under § 14-22-101 et seq.;
(C) Comply with the Arkansas County Accounting Law of 1973, § 14-25-101; and
(D) Comply with the Local Fiscal Management Responsibility Act, § 14-77-101 et seq.;
(5) Be operated in compliance with this subchapter and all other laws, regulations, and rules related to the administration of solid waste management systems and recycling programs in Arkansas;
(6) Encourage the voluntary establishment of tire collection centers at tire retailers, tire processing facilities, and solid waste disposal facilities for the deposit of tires generated in the state;
(7) Provide the department with business plan information required under § 8-9-408;
(8) Provide the department with all quarterly financial information and progress reports related to § 8-9-409;
(9) (A) Establish tire collection centers within each county served by the used tire program that accepts tires from tire retailers at no charge if the tire retailer establishes that it:
(i) Collects the rim removal fee imposed under § 8-9-404(a); and
(ii) Complies with the electronic uniform used tire manifest system under § 8-9-407.
(B) The tire collection centers under this subdivision (b)(9) may be at any one (1) or more of the following:
(i) A solid waste disposal facility;
(ii) A tire processing facility; or
(iii) A tire retailer; and
(10) Establish at least one (1) tire collection center within each county served by the used tire program.
(c) A used tire program that receives reimbursements under this section may:
(1) Contract with a tire processing facility that is approved by the Director of the Arkansas Department of Environmental Quality;
(2) Remove or contract for the removal of tires from waste tire sites within the regional solid waste management district;
(3) Provide incentives for establishing privately operated tire collection centers for the public; and
(4) Form an inter-district used tire program.
(d) Moneys disbursed from the Used Tire Recycling Fund by the department for reimbursements under this section shall be:
(1) Distributed as provided under this section only to the used tire programs that comply with all applicable requirements in this subchapter related to the operation of used tire programs;
(2) Based on moneys available in the fund, funding levels under subsection (e) of this section, the approved business plan rate, funding priorities under subsection (f) of this section, quarterly financial reports, and other documentation submitted by the used tire programs; and
(3) Made on a quarterly basis to the used tire programs.
(e) (1) The following funding levels for quarterly disbursements from the fund are established:
(A) Level One Funding shall be paid first each quarter from all available moneys collected and available for disbursement in that quarter;
(B) Level Two Funding shall be paid each quarter only if any moneys are available after all Level One Funding obligations are paid in full for that quarter; and
(C) Level Three Funding shall be paid each quarter only if any moneys are available after all Level One Funding and Level Two Funding obligations are paid in full for that quarter.
(2) If there are insufficient moneys available in a quarter to make reimbursements for all submitted requests under any funding level under subdivision (f)(1) of this section, the department shall calculate the total remaining funding available for the funding level and allocate the moneys available for reimbursement to each used tire program based on a pro rata share of each used tire program's reimbursement request compared to the total moneys available for that funding level.
(3) (A) The Arkansas Pollution Control and Ecology Commission may increase reimbursement rates if the Director of the Arkansas Department of Environmental Quality recommends an increase because of one (1) or more of the following:
(i) The relevant Consumer Price Index for the preceding calendar year exceeded the Consumer Price Index for calendar year 2018; or
(ii) The used tire programs have established an increase in operation costs.
(B) An increase to any reimbursement rate under subsection (f) of this section shall not exceed ten percent (10%) each calendar year.
(f) Based on data received from the electronic uniform used tire manifest system and quarterly reports, the following funding may be available from the fund for used tire programs that are in compliance with all applicable requirements of this subchapter:
(1) Level One Funding for reimbursement for disposing of used tires at the approved business plan rate;
(2) Level Two Funding to an eligible inter-district used tire program under § 8-9-410(b) for assistance with funding an illegal dumps control officer position; and
(3) Level Three Funding to an eligible used tire program that is in compliance with § 8-9-408 for equipment purchases, repairs, or maintenance that are scheduled or planned at least six (6) months before and included in the business plan or revised business plan of the used tire program.
(g) At the request of a used tire program that needs operational assistance or guidance on compliance with this subchapter, the department shall provide to the used tire program operational assistance or guidance on compliance with this subchapter.
(h) The department shall:
(1) Develop market opportunities for beneficial use of used tire material; and
(2) Educate the public on the Used Tire Recycling and Accountability Program.