Environment - Tire Recycling Fee - Alterations
HB83 revises Maryland’s tire recycling fee program. The bill shifts authority from the Board of Public Works to the Department of the Environment to establish and administer the fee imposed on the first sale of a new tire in the State, including tires sold with vehicles, trailers, farm implements, or similar machinery. It sets the fee at $1 per tire beginning January 1, 2026, allows the Department to adjust the fee for inflation every two fiscal years using the Consumer Price Index, and caps the fee at $2 per tire.
The bill also preserves and updates the existing collection framework. Tire dealers must pay and remit the fee to the Comptroller, file returns on the schedule specified by regulation, and electronically file returns for periods after December 31, 2026. The bill keeps the fee from being subject to sales and use tax or transportation-related tax when separately stated, allows dealers a small administrative credit, and directs the Comptroller to forward collections to the State Used Tire Cleanup and Recycling Fund, less administrative costs. The Fund remains capped at $10 million, and if projected resources exceed that cap, the Department must reduce future fees on a pro rata basis.
In practical terms, HB83 affects tire dealers, tire purchasers, the Comptroller, and the Department of the Environment, while continuing to support cleanup and recycling of used tires through the dedicated fund. It amends Sections 9-228(g) and 9-274 of the Environment Article and changes the fee-setting and adjustment process without eliminating the fee itself.
The available record shows no committee transcript, vote tally, or recorded floor debate, so there is no documented opposition or support in the provided materials. Based on the bill text alone, the measure appears administrative and revenue-stabilizing rather than controversial, with its main policy change being the transfer of fee-setting authority and the introduction of an inflation adjustment mechanism.
HB83 amends the Environment Article to transfer tire recycling fee-setting authority from the Board of Public Works to the Department of the Environment, establishes a $1 per tire fee starting January 1, 2026, authorizes inflation adjustments every two fiscal years, and maintains a $2 per tire cap. It also updates fee collection, remittance, electronic filing, and fund-allocation provisions for the State Used Tire Cleanup and Recycling Fund, while preserving the fee’s tax treatment and the existing cap on the Fund.
No committee discussion or voting history was provided, so there is no recorded sentiment from hearings or floor action. On its face, the bill appears to be a technical and administrative update with a fiscal maintenance purpose, suggesting a generally neutral or practical policy posture rather than a highly polarized one.
The main policy choice in HB83 is the shift of authority from the Board of Public Works to the Department of the Environment, along with allowing inflation-based fee increases and preserving a fee cap. Potential points of contention would likely involve tire dealers and consumers concerned about higher costs, versus environmental and cleanup interests that may support a more flexible funding mechanism for the Used Tire Cleanup and Recycling Fund. No specific objections or supporters are documented in the provided materials.