2023 CA Recycling Exclusions Guide Part 1: Find the Right Hazardous Waste Exclusion for Your Site Today

Did you know that California has created exclusions from hazardous waste requirements in order to promote recycling at your business? If your business is generating hazardous waste that are able to be recycled on site or shipped off site for recycling, this waste stream may qualify for a recycling exclusion from hazardous waste regulations. Qualifying for a recycling exclusion can alleviate your business of training, inspection, and reporting requirements if certain criteria are met and the material is managed in accordance with the recycling exclusion requirements. In addition to the reduced regulatory burden, these exclusions can reduce the fees associated with generating hazardous wastes, like generator fees, environmental fees, manifest fees, tax fees, transportation fees and disposal fees. Plus, recycling your materials can boost your company’s Environmental, Social, and Governance program!

We have identified 19 categories of recycling exclusions and outlined the key qualifications for each category below. Skim through the categories to find out if any of your materials could qualify for a recycling exclusion and reach out to Meredith Garrett so that we can discuss this potential and strategize!

Note that this is not a comprehensive list of requirements for managing your recyclable materials, as additional conditions apply in order to comply with the exclusion requirements. Be on the lookout for more ALL4 articles discussing the dos and don’ts for managing your excluded recyclable materials.

Materials Recycled or Reused Onsite Only

1. 1. Materials recycled and used at the site where the material was generated¹. Materials covered by this exclusion may be recycled or reused through a process called reclamation. Reclamation is when a material is treated to recover a usable product, or that it is regenerated. An example of reclamation is the regeneration of spent solvents through a purification process. This exclusion only applies to materials that may otherwise be categorized as non-RCRA hazardous wastes.
   2. Materials returned to the original process from which it was generated². Materials that may qualify for this exclusion must be returned to the original process at the site where the material was generated. The material must substitute a principal raw material feedstock without first being reclaimed.
   3. Reclaimed secondary materials returned to the original process in a “closed loop”³. Materials in this category are returned to their original process from which they were generated in a closed loop system and are reclaimed. The entire process must be closed by entirely connected pipes, conveyances, and tanks. Reclamation of the material must not involve flame combustion such as in boilers, furnaces, or incinerators and the material must not be used to produce a fuel, or used to produce products that are used in a manner constituting disposal.
   4. Coolants, lubricants, and cutting fluids⁴. These materials may be excluded from hazardous waste regulations under certain scenarios when they are not considered a “discarded” material. The material must be necessary to the operation of the manufacturing equipment and be processed to extend the life of the material for continued use. It must be processed in the same manufacturing equipment in which the material is used or in connected equipment that returns the material to the originating manufacturing equipment for continued use.
   5. Intermediate manufacturing process streams⁴. Materials included in this category are produced as a part of a manufacturing process, reused in a manufacturing process that is designed for its use and is not accumulated in amounts greater than can be used in the manufacturing process. The material cannot be handled, stored, or processed in a manner that is inconsistent with its intended use or the operating requirements of the manufacturing process.

Materials Recycled or Reused Offsite or Onsite

1. 6. Materials used or reused as an ingredient to make a product². This exclusion applies to ingredients used in an industrial process to produce a product. The material can either be recycled at the site where the waste is generated or at an offsite permitted recycling facility. This exclusion does not apply to reclaimed materials.
   7. Materials used as a safe and effective substitute for a commercial product². The material can either be recycled at the site where the waste is generated or at an offsite permitted recycling facility. This exclusion applies to materials that would otherwise be categorized as either a RCRA or non-RCRA hazardous waste but does not apply to reclaimed materials.
   8. Material transported between two locations operated by the entity who generated it and recycled at the second site¹. This exclusion applies to materials that would otherwise be categorized as non-RCRA waste, not RCRA waste, that is transported between two locations operated by the company who generated the material. The material is recycled at the site that it is transported to. Recordkeeping and transportation requirements apply.
   9. Material transported between two locations operated by the person who generated it and then shipped for offsite recycling¹. This exclusion applies to materials that would otherwise be categorized as non-RCRA waste that is transported between two locations operated by the company who generated the material. The material is then shipped offsite for recycling to a permitted recycling facility. Recordkeeping and transportation requirements apply.
   10. Non-RCRA materials used or reused as an ingredient to make a product¹. This exclusion applies to ingredients used in an industrial process to produce a product. The material can either be recycled at the site where the waste is generated or at an offsite permitted recycling facility. The material may be treated by one of the following methods: filtering, screening, sorting, sieving, grinding, physical or gravity separation without the addition of external heat or any chemicals, pH adjustment, or viscosity adjustment. This exclusion applies only to materials that would otherwise be categorized as non-RCRA hazardous waste.
   11. Non-RCRA materials used as a safe and effective substitute for a commercial product¹. The material can either be recycled at the site where the waste is generated or at an offsite permitted recycling facility. The material may be treated by one of the following methods: filtering, screening, sorting, sieving, grinding, physical or gravity separation without the addition of external heat or any chemicals, pH adjustment, or viscosity adjustment. This exclusion applies only to materials that would otherwise be categorized as non-RCRA hazardous waste.

Other Specific Wastes

1. 12. Used oil ⁵. This used oil exclusion applies to oil that has been used and, as a result of use, extended storage or spillage, has been contaminated with physical or chemical impurities. The oil must not be mixed with any hazardous waste and must not contain any of the following: antifreeze, brake fluid, other automotive wastes, fuels, or solvents. The used oil must not be disposed of or used in a manner constituting disposal. A manner constituting disposal includes directly applying the material to the land or placing the material on the land (see 22 CCR 66261.2(d)(1)(A)).  The used oil must have been refined from crude oil, or any synthetic oil, must not be treated by the generator, must meet purity standards, and must comply with certain notification, testing, and recordkeeping requirements.
   13. A product that has been processed from a hazardous waste at a permitted Treatment, Storage, Disposal Facility¹. To qualify for this exclusion the material must be used as a product or distributed/sold for use in a manner for which the product is commonly used. Additionally, the product cannot contain constituents other than those for which the material is being recycled, that render the material hazardous. This exclusion does not apply to materials that would otherwise be categorized as RCRA waste
   14. Chlorofluorocarbon or hydrochlorofluorocarbon compound or a combination of chlorofluorocarbon or hydrochlorofluorocarbon compounds¹. This exclusion applies when the material is being reused or recycled, and is used in heat transfer equipment, including, but not limited to, mobile air-conditioning systems, mobile refrigeration, and commercial and industrial air-conditioning and refrigeration systems, used in fire extinguishing products, or contained within foam products. This exclusion does not apply to materials otherwise characterized as RCRA hazardous wastes.
   15. Spent sulfuric acid used to produce virgin sulfuric acid³. This exclusion applies if the waste is not accumulated speculatively. Speculative accumulation is when a material is accumulated prior to being recycled and 75% of the material in inventory on January 1 has not been recycled at the end of the calendar year.
   16. Pulping liquors (e.g., black liquor)³. This exclusion applies to material that is reclaimed in a pulping liquor recovery furnace and then reused in the pulping process. This exclusion does not apply if the waste is accumulated speculatively.

Refinery wastes

1. 17. Petroleum refinery waste containing oil that is converted into petroleum coke at the same facility¹. To qualify for this exclusion the material must be converted to petroleum coke at the same facility that the waste was generated at, and the resulting coke cannot be characterized as a hazardous waste. This exclusion applies to materials that would otherwise be categorized as non-RCRA wastes, not RCRA wastes.
   18. Oily waste, used oil, or spent nonhalogenated solvent that is managed by the owner or operator of a refinery¹. The refinery generating the material must primarily process crude oil and the refinery must not be subject to permit requirements for the recycling of used oil, of a public utility, or of a corporate subsidiary, corporate parent, or subsidiary of the same corporate parent of the refinery or public utility. The exclusion only applies to material that is either burned in an industrial boiler, an industrial furnace, an incinerator, or a utility boiler that is in compliance with all applicable federal and state laws or is recombined with normal process streams to produce a fuel or other refined petroleum product. The material must be managed at the site where it was generated, or another site owned by the same entity. This exclusion applies to materials that would otherwise be categorized as non-RCRA wastes, not RCRA wastes.
   19. A fuel that is transferred to, and processed into, a fuel or other refined petroleum product at a petroleum refinery¹. This exclusion applies to fuel that has been removed from a fuel tank and is contaminated with water or nonhazardous debris, of not more than 2 percent by weight, including, but not limited to, rust or sand. The exclusion also applies when the fuel has been unintentionally mixed with an unused petroleum product. This exclusion does not apply to materials that would otherwise be categorized as RCRA waste.

Did you find the exclusion right for you?

ALL4 can provide you with regulatory guidance, training, standard operating procedures, compliance evaluations and more to help your site qualify for the exclusions! Reach out to Meredith Garrett at mgarrett@all4inc.com or 909.477.7132 to get started today.

¹HSC section 25143.2(d)

²HSC section 25143.2(b)

³CCR section 66261.4

⁴HSC section 25124(c)

⁵HSC section 25250.1