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Senator Jennings Randolph
Panel on Materials Policy
Public Works Committee
United States Senate
July 30, 1974
Page 2

We support federal legislation to insure markets for recoverable materials, some of which already are in high demand. Scrap aluminum beverage cans, for example, are purchased from consumers for 15 cents a pound at more than 1000 reclamation centers operated by beverage, scrap metal and aluminum companies.

We oppose granting packaging regulatory power to the Environmental Protection Agency as provided in other bills under consideration. We believe the ultimate packaging choice should lie with the consumer, the manufacturer and the packaging industry. We reject the notion that mandating package design or material will meaningfully contribute to solving the litter or solid waste disposal problems.

To insure maximum utilization and recovery and reuse of resources, we believe the Federal Government should: 1) promote markets for recovered materials, 2) provide funding for technical development, 3) fund new resource and energy recovery systems, and 4) encourage the use of recycled materials by government and the private sector.

Of the bills being considered, we believe your bill, S.3560, is the most appropriate vehicle to accomplish the short-term and long-term waste disposal and resource recovery needs of the nation. We support it as being in the best interest of government, industry and most importantly, the consumer.

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STATEMENT

OF THE

AMERICAN RETAIL FEDERATION

BEFORE THE

PANEL ON MATERIALS POLICY

OF THE

SENATE COMMITTEE ON PUBLIC WORKS

CONCERNING

SOLID WASTE AND RESOURCE RECOVERY LEGISLATION

AUGUST 2, 1974

AMERICAN RETAIL FEDERATION
1616 H ST., N.W. WASHINGTON, D. C. 20006

Mr. Chairman and members of the Panel on Materials Policy:

The American Retail Federation wishes to thank you for this opportunity to submit a statement expressing the views of our members on the solid waste bills before the Senate.

The American Retail Federation is comprised of 50 state retail associations, 32 national retail associations, and sustaining corporate members. Through the total membership, the Federa tion represents over 1 million retail establishments. Retailing constitutes over 20% of the Gross National Product with over 11 million workers employed in retailing in the United States.

Retailing as an industry is an integral part of every community. Every city and town, no matter how large or how small, has retailing establishments as part of its economy. For this reason, the communities' problems are retailing's problems. Retailers recognize that solid waste disposal and resource recovery are an area of concern in our Country today, an area in which the Federal government should play a role.

Laws protecting the environment are important. Retailing has supported major environmental proposals. The American Retail Federation also supports solid waste disposal legislation. The Federation recognizes that the legislation passed in Congress will greatly affect the success of this vital program. Some of the legislative proposals before you have far reaching consequences and will radically disrupt existing patterns. Vital studies are now being conducted concerning solid waste handling and methods of control. The Federation urges that these studies be completed and reviewed by Congress before enact

ing and establishing new major programs in solid waste management

and resource recovery.

On June 22, 1974, the "Energy Supply and Environmental Coordination Act of 1974" was signed into law (P.L. 93-319). This Act directs the Federal Energy Administration to study and to report to Congress within six months on: Sec. 8(a) (2)

"alternative requirements, incentives, or disincentives
for increasing industrial recycling and resource recovery
in order to reduce energy demand, including the economic
costs and fuel consumption tradeoff which may be associat-
ed with such recycling and resource recovery in lieu of
transportation and use of virgin materials,

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FEA is also directed to do other solid waste related studies. In addition, the Environmental Protection Agency's Second Report to Congress on "Resource Recovery and Source Reduction" indicates the need for caution and careful consideration of the technical, economic and social problems involved in establishing a comprehensive solid waste management scheme. EPA has not completed some of the studies in this area under the Resource Recovery Act of 1970. The results, including the social and economic costs to society in general and to the business community in particular, of various proposals are not yet known. It is our belief that, in view of this earlier law, Congress should await the results of the Environmental Protection Agency and Congress' mandated studies. The Executive branch studies being conducted are at the direction of and for the benefit of the Legislative branch. Legislative action does not and should not always reflect departmental findings, but the legislature should await the results.

Retailing believes that there are some reasons for allowing the studies to be continued to completion before major action is taken. For example, several years ago phosphate detergents came under serious fire from various government agencies, both local and Federal, because of properties contained in them. Then, a reassessment of their use was made and the prohibition against their use was removed. Had there been coordination of objectives and a thorough analysis of applicable data, the unnecessary costs and wastetul efforts involved in interim changes (not to mention public confusion) would have been avoided.

After World War II there was a rapid change in industrial technology and marketing techniques. These were encouraged by the government in changing from the war-oriented economy to an industrial and consumer economy. There is no point in our reiterating the great economic increase experienced in this Country in the last 30 years as a result of this technology. However, one unique feature has greatly enabled retailing to establish the efficient self-service retail establishments which are now characteristic in all phases of retailing. That is the development of packaging which serves to protect and preserve goods and ease the facility with which those goods are handled in the chain of distribution to the consumer.

Retail establishments today are a far cry from the old neighborhood stores where a clerk helped select each item for the customer. The efficient use of manpower and energy has been greatly

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