UNICOR Federal Prison Industries, Inc. Electronic Property Disposal & E-Waste Elimination NPMA 2014 National Education Seminar

What is E-Waste / WEEE? Electronic Waste = “E-Waste” Waste Electrical & Electronic Equipment = WEEE Discarded office electronic equipment & entertainment devices destined for reuse, resale, salvage, recycling, or disposal

Why is E-Waste Important? Lots of it – 67.5 million tons this year (135 Billion lbs) Some (not all) e-waste contains hazardous materials Lead, Cadmium, Mercury Beryllium, Arsenic, Barium, Lithium, Nickel, & print toner dust 85% goes into landfills or incinerators – potential pollutants for groundwater, land, and air

E-Waste Hazards

E-Waste in the United States 2% of the trash in landfills But 70% of the toxic waste in landfills Less than 15% is currently recycled Fastest-growing municipal waste stream - EPA

What’s the Solution?

Recycling – not Trash Avoid disposing of any electronics in the trash 24 States have passed formal e-waste law Identify a certified electronic recycler

E-Waste Recycling - Certifications Two separate e-waste recycling standards Responsible Recycling Practices for Electronics Recyclers – referred to as “R2” e-Stewards Very similar - but not identical e-Stewards prohibits the use of inmate labor

Developed by multi-stakeholder group led by EPA in 2008 Goal - develop safe & environmentally sound standards Ensure best practices & provide assurances to customers An electronics recycler may only be certified as meeting the R2 standards by a 3 rd party auditor – very rigorous Responsible Recycling Practices for Electronics Recyclers – R2

Environmental Benefit Law Enforcement Benefit Societal Benefit One Solution – Available to all Property Managers

Federal Prison Industries, Inc. Component of Federal Bureau of Prisons Established in 1934 by statute & Executive Order Provides training & work experience to Federal inmates Receives NO appropriations – entirely self-sustaining Trade name - UNICOR

Federal Bureau of Prisons 216,000 inmates incarcerated in Federal Prisons 95% will be released back into society 40,000 Federal inmates released each year These ex-offenders will be (or already are) your neighbors Many inmates never held a job prior to incarceration Need to be constructively occupied while incarcerated Need to learn not only a skill, but also basic work ethic

UNICOR’s Positive Impact UNICOR inmates are 24% less likely to recidivate upon release UNICOR inmates are 14% more likely to maintain employment Essential for maintaining safe and secure correctional facilities

UNICOR Recycling Locations 7 processing factories Atwater, CA Fort Dix, NJ Leavenworth, KS Lewisburg, PA Marianna, FL Texarkana, TX Tucson, AZ 10 collection centers Atlanta DenverDevens, MA Fort Worth MiamiNew York Phoenix San Francisco Sheridan, OR Wash, DC

UNICOR Recycling Factories R2 Certified Lewisburg, PA – R2 Certified Leavenworth, KS – R2 Certified Marianna, FL – R2 Certified Fort Dix, NJ – R2 Certified Texarkana, TX – R2 Certified Tucson, AZ – R2 Certified Atwater, CA – R2 Certified

UNICOR Recycling Factories Additional Certifications ISO 9001 – Quality ISO – Environmental Management OHSAS – Occupational Health & Safety

Bulletin FMR B-34 (issued Feb 29, 2012) Proposed Rule 41 CFR Part (March, 2014) When disposing of Federal Electronic Assets (FEA), Federal Government agencies are to utilize certified electronics recyclers Certified to either the R2 or e-Stewards Standard GSA Guidance on Disposal of = Federal Electronic Assets

Internal Revenue Service (IRS) Official determination – “Contributions to FPI are tax- deductible under section 170(c)(1) of the Internal Revenue Code, provided that the contributions are made for exclusively public purposes.” Item donated to UNICOR for recycling = tax deduction Internal Revenue Service (IRS) Donations to UNICOR

Interagency task force co-chaired by: White House Council on Environmental Quality Environmental Protection Agency General Services Administration National Strategy for Electronic Stewardship

Issued July, four primary goals: Build incentives for design of greener electronics Ensure Federal Government leads by example Increase safe/effective management & handling of used electronics Reduce harm from U.S. exports of e-waste; improve safe handling of used electronics in developing countries National Strategy for Electronic Stewardship

Ensure Federal Government leads by example Establish policy on used Federal electronics to: Maximize re-use (UNICOR does!) Clear data stored on used equip (UNICOR does!) Ensure all Federal electronics processed by certified recyclers (UNICOR is R2 Certified!) Improve tracking used electronics throughout lifecycle – make data available (UNICOR does!) National Strategy for Electronic Stewardship

UNICOR’s Solution Donation in lieu of abandonment and destruction Landfill - avoidance 40 million lbs of material collected in FY 2013 Benefits the donating agency, the environment, and public safety & health

Shipping Sorting Testing Reconditioning / Refurbishing Component Recovery Residual Material Recovery UNICOR Recycling Process for Incoming Material

UNICOR - Data Security Emphasized in National Strategy! All hard drives & media-storage devices from Federal Gov’t agencies destroyed. (Non-Gov’t hard-drives & media storage devices destroyed upon request) State-of-the-art equipment to shred all hard drives & other media to no more than ¾ of inch

UNICOR – Material Tracking Emphasized in National Strategy! Track FEA by agency & location, item (computer, monitor, printer), serial number, disposition (re-use or de-manufactured for scrap) Tracking data provided to Federal Agencies starting in 2014

Department of Justice authority Available to all donors (Federal & non-Federal) Dependent on value of the material Volume (the bigger the better!) Location (shipping costs $$$) Equipment (high-value items) Memorandum of Agreement All terms disclosed Completely transparent UNICOR – Revenue Sharing for E-Waste Donations

UNICOR -- Accepted Items Computer equipment (desktops, laptops, printers, monitors, mainframes/servers, modems, CD-ROM drives, plotters, circuit boards, memory sticks/boards, hard drives/floppy drives, power supplies) Office equipment (copiers, fax machines, shredders, power strips) Communication equipment (phones, Blackberry's, PDAs ) A/V equipment (TVs, radios, cable boxes, TiVo, DVRs, MP3s) Games (X-box, iPod, Game Boy, Play station, Nintendo, Wii) Other devices w/ circuit boards (calculators, cameras)

UNICOR -- Accepted Items (con’t) Metal equipment (metal file cabinets, metal storage cabinets, metal lockers, metal shelving, metal folding chairs) Batteries (all types of batteries except for alkaline batteries. For example, UNICOR accepts lead acid batteries, nickel-cadmium batteries, lithium batteries, carbon-zinc batteries, etc.) Communication Wire (copper wire, phone wire, coaxial cable, and computer wire are all accepted, but no fiber optic cable)

UNICOR Environmental Stewardship R2 Certified (also ISO 9001, & OHSAS 18001) Compliant with all Federal, state and local environmental regulations (including OSHA) Full-time Environmental & Safety Compliance Administrator at each location 3 RD party audits

Summary Focus on preventing E-Waste from entering the waste stream NPMA professional community can make a big difference increasing E-Waste recycling (15%) Identify & Utilize a certified E-Waste Recycler

Todd Baldau Deputy General Manager UNICOR Recycling Business Group (202) office (301) cell Questions?