Quantifying Electronics

Based on manufacturer and retailer feedback on actual and potential compliance costs for additional state systems. Some industry respondents cited substantial one-time compliance costs for development of a point-of-sale ARF system, but noted that costs any additional system would be less. a national system is assumed to require registration, reporting and product identification as do these 4 state programs – but compliance would be directed to a single recipient under a single set of requirements. Quantifying the percentage of state compliance costs that are duplicative dead weight requires analysis of the compliance burden in each state and the national model. If compliance costs were equal across all 4 states, and equal to compliance costs of a national program, then 75% of the existing state compliance burden would be considered dead weight costs. However, compliance costs vary across state programs and national program compliance costs would be anticipated to be relatively high. Given this, compliance costs under a single national system are assumed to be 50% of the current costs to comply with the 4 state systems. Thus 50% of the total estimated recurring costs for this cost driver is considered dead weight for the purposes.