OPINION AND ORDER
In August 2013, the City adopted Local Law 69, which makes manufacturers responsible for recovering refrigerants from their residential appliances that are discarded in New York City. Plaintiff Association of Home Appliance Manufacturers (“AHAM”) brings this declaratory judgment action against Defendant City of New York (the “City”) to challenge the validity of Local Law 69 under New York and federal law. Plaintiff moves for judgment on the pleadings with respect to its claims that Local Law 69 is ultra vires (i.e., beyond the City’s legislative power) and is preempted by the New York Environmental Conservation Law (“NYECL”).
The Court finds that the City’s effort to promote the safe disposal within its bor
BACKGROUND
The following facts are based on Defendant’s Answer to the extent that it admits allegations in the Complaint, uncontested documents attached to or incorporated by reference in the pleadings, and documents of which the Court takes judicial notice.
I. History of Refrigerant Regulation
Certain appliances, including refrigerators, freezers, air conditioners and dehumidifiers, use refrigerants in the CFC, hydrochlorofluorocarbon (“HCFC”) or hy-drofluorocarbon (“HFC”) chemical families to perform their cooling functions. Following the discovery that CFCs are ozone-depleting substances, CFCs and HCFCs became subjects of regulation under the Montréal Protocol on Substances that Deplete the Ozone Layer, ratified by the United States in 1988, and the federal Clean Air Act. Under the Clean Air Act, the production and consumption of CFCs have been banned since 2000, 42 U.S.C. § 7671e(b)-(c), and the production and consumption of HCFCs will be completely phased out by 2030, 42 U.S.C. § 7671d(b)-(c). CFCs and HCFCs commonly have been substituted by HFCs, which do not deplete the ozone layer.
For a period in the 1990s, the City of New York vented refrigerants into the atmosphere when picking up discarded residential appliances as part of its appliance recycling program. In 2000, the U.S. Environmental Protection Agency (“EPA”) and the City entered into a consent decree providing in relevant part that the “[t]he City shall comply at all times with Section 608 of the Clean Air Act, and the regulations set forth at 40 C.F.R. Part 82, Sub-part F.... ” Thereafter, the City instituted a system in which it instructs residents to place appliances to be discarded at the curb before collection day, and sends separate fleets of trucks and employees to recover the refrigerants and the appliances respectively. The City generates revenue from this program through an agreement with a recycling contractor.
II. Local Law 69
In August 2013, Mayor Bloomberg signed the bill that became Local Law 69, amending Title 16 of the Administrative Code of the City of New York by adding §§ 16-480 through 16-486. Local Law 69 (the “Law”) makes manufacturers responsible for recovering refrigerants from their residential appliances that are discarded in New York City. N.Y.C. Admin. Code § lb-481 (a). Manufacturers may develop their own recovery programs, whether by themselves or in conjunction with one another, or pay the City a fee when the Department of Sanitation (“DSNY”) makes the-collection. Id. §§ 164181(b), -482(c). A manufacturer’s own program may not include
The Law applies to manufacturers “(1) ... whose brand name appears on an appliance sold, offered for sale or distributed in the city or (2) ... who manufacture[ ] or has manufactured an appliance sold, offered for sale or distributed in the city.” Id. § 16-480. Under the Law, “refrigerants”
means any substances consisting in whole or in part of a class I or class II ozone-depleting substance, which are used for heat transfer purposes and provide a cooling effect, including, but not limited, to chlorofluoroearbons, hydro-chlorofluorocarbons, or any other substitute substance as may be defined by the United States environmental protection agency. A class I or class II ozone-depleting substance shall be those substances as defined by the United States environmental protection agency in section 602 of the United States clean air act. A “substitute substance” shall be any environmental protection agency approved replacement for a class I or II ozone-depleting substance in a refrigeration or air-conditioning end-use.
Id.
The Law contains a severability provision in the event that any part of it is determined to be invalid:
If any provision of this local law shall be , adjudged to be unconstitutional or invalid, such judgment shall not affect, impair or invalidate the remainder thereof, but shall be confined in its operation to the provision directly involved in the controversy in which such judgment shall have been rendered.
Id. § 16-486.
Section 16-485 authorizes the DSNY to promulgate implementing rules. The Final Rules Governing the Recovery of Refrigerants became effective on June 1, 2014.
III. Legislative History
Bill No. Int. 894-2012 (“Bill 894”), as Local Law 69 was known prior to its passage, was considered by the City Council Committee on Sanitation and Solid Waste Management (“Committee”) along with three other bills at a hearing on June 29, 2012. The other three bills respectively concerned the theft of manhole covers, the poaching of recyclables and the collection of beverage containers. The Committee’s report for the June 29 hearing, as well as statements made at the hearing itself, characterized the four bills as part of the City’s effort to combat the increase in the curbside theft and poaching of recyclable materials, which reduced the amount of high-value recyclables collectable by the DSNY.
Specifically with respect to Bill 894, speakers at the hearing expressed concern about the environmental impact of ozone-depleting substances being released into the atmosphere by poachers who steal discarded appliances. A representative of the Natural Resources Defense Council stated that Bill 894 “would reduce the likelihood that stolen bulk metal items like refrigerators and air conditioners are improperly disassembled, with the inevitable result being the release of ... CFCs, which are potent ozone depleting gases, into the atmosphere.” The Committee also heard testimony that Bill 894 would help with the City’s finances. Ron Gonen, the DSNY’s Deputy Commissioner for Sustainability and Recycling, stated that Bill 894 “would allow for the shift of part of the financial burden for the recovery to manufacturers of refrigerant containing products” and for the DSNY to “recover a portion of its program costs for continuing to operate its CFC removal program.... ”
Plaintiff AHAM is a not-for-profit business association incorporated in Illinois and having its principal office in Washington, D.C. It represents manufacturers of home appliances, and its members produce 95 percent of the household appliances shipped for sale in the United States. On November 6, 2013, Plaintiff commenced this action seeking a declaratory judgment that: (i) Local Law 69 is preempted by N.Y. ECL § 38-0107(3); (ii) § 16-481, regarding manufacturer responsibility for recovery, is ultra vires under the constitution and legislative acts of New York State; (in) § 16-482(b) and (c), regarding fees chargeable to manufacturers under the City collection program, are ultra vires under the constitution and legislative acts of New York State; (iv) §§ 16-481 and 16-482(c) violate manufacturers’ due process rights under the U.S. and New York constitutions; and (v) Local Law 69 violates the Commerce Clause of the U.S. Constitution. On February 7, 2014, Plaintiff moved for judgment on the pleadings as to the first three causes of action, which all arise under state law.
STANDARD
The Court reviews motions for judgment on the pleadings brought pursuant to Rule 12(c) of the Federal Rules of Civil Procedure under the same standard as Rule 12(b)(6) motions to dismiss. Bank of N.Y. v. First Millennium, Inc.,
On a Rule 12(c) motion, the court may consider “the complaint, the answer, any written documents attached to them, ... any matter of which the court can take judicial notice for the factual background of the case[,] ...' any written instrument attached ... as an exhibit, materials incorporated ... by reference, and documents that, although not incorporated by reference, are integral” to the pleadings. L-7 Designs, Inc. v. Old Navy, LLC,
DISCUSSION
I. Police Powers
Plaintiff seeks declaratory judgment on the pleadings as to its second and third claims — that § 16-481, regarding manufacturer responsibility for recovery, and § 16-482(b) and (c), regarding fees chargeable to manufacturers under the City’s collection program, are ultra vires under the constitution and legislative acts of New York State. The City argues that it has authority under state law to enact Local Law 69 pursuant to its delegated police powers. Plaintiff’s motion is denied with respect to these two claims because it is
Police powers repose with the states. See U.S. Const, amend. X; United States v. Morrison,
To be a valid exercise of police power, a municipal legislative act must bear a reasonable relationship to a legitimate purpose within the City’s police powers — e.g., the promotion of the health, safety, well-being or welfare of the community. See Good Humor Corp. v. City of N.Y.,
A. Reasonable Relationship
Courts have consistently held that waste disposal is subject to regulation by municipalities pursuant to their police powers. See Riley v. Monroe Cnty.,
There can be no question about the City’s authority under its police powers to deal with refuse within its borders, as these cases make clear. Nor does there seem to be any doubt about the City’s authority to prescribe, as it has for many years, the manner of disposal for cooling appliances and their refrigerants. As the legislative history shows, the safe disposal of refrigerants is an issue of particular concern in the City’s management of its waste, as their illegal venting — exacerbated by poaching — causes environmental damage. Local Law 69 is plainly designed to improve the management of refrigerants as waste and address the consequences of their improper disposal in New York City, and therefore bears a reasonable relation to the promotion of the community’s health and welfare and the protection of the physical environment.
Plaintiff argues that Local Law 69 exceeds the City’s police powers because the environmental interests threatened by certain refrigerants result from ozone depletion, which is a national and global problem. While the release of refrigerants in New York City may well have an environmental impact beyond the city’s borders, the refrigerants at issue are located in appliances discarded in the city. These appliances and their refrigerants constitute waste within the city limits, and the City must manage the disposal of such waste as well as the complications to that disposal process caused by the documented surge in poaching. These are distinctly local issues. Local issues otherwise addressable by a municipality’s exercise of police powers cannot be immunized from local regulation simply because the prob
Plaintiff also argues that - Local Law 69 fails the reasonable relationship test because it allegedly does riot further what Plaintiff characterizes as the City’s proffered rationale for the Law&emdash;to reduce the poaching of high-value recyelables. Plaintiff argues that the true motive of the City is to generate revenue by shifting the cost of refrigerant recovery from the City to manufacturers. The City responds that it had other motives. These arguments are misplaced. Whether a law falls within the City’s police powers does not depend on the lawmakers’ subjective intent or the parsing of their proffered or true motives. Rather, the test is whether the law bears a reasonable relationship to the health, safety or welfare of the community, which waste disposal plainly does. See Good Humor Corp.,
B. Reasonableness
The Court likewise is unable to conclude, based on the record before it on this motion and drawing all reasonable inferences in favor of the City, that Local Law 69 is unreasonable as a matter of law.
Plaintiff contends that the payments required of manufacturers under § 16-482(c) are either an unauthorized tax or an impermissible fee for a fictional benefit created by the City’s unreasonable reallocation of the responsibility to recover refrigerants. The City asserts that it is not a tax but a permissible fee to reimburse the City for its collection program insofar as the program helps manufacturers fulfill their responsibility under § 16-481(a). Thus, the real dispute concerns whether the City’s shifting of the responsibility to recover refrigerants from itself to manufacturers is reasonable&emdash;i.e., the “why me” question.
Based on the pleadings and undisputed facts, Plaintiff has not met its burden of showing that it is unreasonable for the City to impose that responsibility on the appliance manufacturers. Local Law 69 places the obligation in question on manufacturers that sell or distribute appliances that contain refrigerants in New York City. N.Y.C. Admin. Code § 16M80. The Law thus requires those who placed the refrigerants in the appliances to remove them, and limits its reach to those manufacturers that placed their products in the stream of commerce in New York City. In light of this direct and logical connection between the manufacturers and the refrigerants to be recovered, the Court cannot find that Local Law 69 is unreasonable. While it may be true, as Plaintiff argues, that the manufacturers have no ownership or control over the appliances being discarded or that they are not guilty of any wrongdoing, these assertions do not negate the close nexus between manufactur
Plaintiff argues that Local Law 69 is unreasonable because the manufacturers may be charged for the City’s servicing of their appliances that they sold or distributed outside New York City. This argument fails for several reasons. First, that the Law may incidentally embrace activities beyond the city limits does not render it unreasonable as a matter of law, especially given that Local Law 69 limits the manufacturers covered to those that have availed themselves of the New York City market for cooling appliances. See id.; Bakalar v. Lazar,
II. Preemption
Plaintiff also moves for judgment on the pleadings on its first cause of action, preemption. Plaintiff contends that even if Local Law 69 were a valid exercise of the City’s police powers, it is still invalid because it is expressly preempted by N.Y. ECL § 38-0107(3). The Court grants judgment in favor of Plaintiff on its preemption claim, but only to the extent that Local Law 69 seeks to govern the reclamation of certain CFC compounds.
Preemption “represents a fundamental limitation on home rule powers,” and “embodies the untrammeled primacy of the Legislature to act ... with respect to matters of State concern.” Albany Area Builders Ass’n,
N.Y. ECL § 38-0107(3) provides that “[a]ny local law, ordinance, rule or regulation relating to sale, use, reuse, reclamation, or disposal of [CFC] compounds must be identical to or the same as the provisions of this article and the rules and regulations adopted hereunder.” N.Y. Envtl. Conserv. Law § 38-0107(3). Article 38 of the NYECL, in which the preemption provision is found, sets forth limitations on the sale, distribution and disposal of “aerosol spray can[s],” id. § 38-0105(3), “motor vehicle air conditioners,” id. § 38 — 0107(1)(a)-(b), (d), “refrigerators used in retail stores, cold storage warehouse refrigeration systems, and air conditioning systems in large buildings,” id. §§ 38-0103(11), -0107(l)(c), certain medical products, id. § 38-0107(2), and the handling of CFCs in these products. Nothing in Article 38 addresses residential appliances or assigns responsibility for the collection of their refrigerants. Thus, while Local Law 69 “relat[es] to ... reclamation ] or disposal of [CFC] compounds,” it is neither “identical to [n]or the same as” the provisions of N.Y. ECL Article 38. Id. § 38-0107(3). Construing the 'clear and unambiguous language of § 38-0107(3) to give effect to its plain meaning, People v. Finnegan,
None of the four cases cited by the City in support of its position that N.Y. ECL Article 38 does not preempt Local Law 69 compels a different result. DJL Restaurant Corp. v. City of New York was a case of implied preemption.
Although Local Law 69 is preempted to the extent that it regulates the collection of CFCs within the scope of N.Y. ECL Article 38, the remainder of the Law continues to be valid and enforceable. “Under New York law, a court should refrain from invalidating an entire statute when only portions of it are objectionable.” Gary D. Peake Excavating Inc. v. Town Bd. of Hancock,
legislative policy should be given effect unless application of the portion of a statute remaining after partial invalidation yields results that [lawmakers] seem[ ] unlikely to have wanted or if the remaining portion is such a minor fragment of a comprehensive provision as to make it likely that [lawmakers] would prefer either no provision or the opportunity to craft a new one.
Gen. Elec. Co. v. N.Y. State Dep’t of Labor,
At the outset, “[t]here is a presumption that [lawmakers] would prefer the portion remaining after partial invalidation to continue in effect.” Doyle,
CONCLUSION
For the foregoing reasons, Plaintiffs motion for judgment on the pleadings is GRANTED on its preemption claim, but only with respect to certain CFC compounds as specified above. The motion is otherwise DENIED in all respects.
SO ORDERED.
Notes
. Municipalities are authorized to adopt laws relating to, inter alia, the "government, protection, order, conduct, safety, health and well-being of persons or property therein,” N.Y. Const, art. IX, § 2(c)(10); accord N.Y. Mun. Home Rule Law art. 2, § 10(l)(ii)(a)(12); the "management and use of [their] highways, roads, streets, avenues and property,” id. art. 2 § 10(l)(ii)(a)(6); the "protection and enhancement of [their] physical and visual environment,” id. art. 2 § 10(l)(ii)(a)(ll); the "regulation], manage[ment] and control [of their] property and local affairs,” N.Y. Gen. City Law art. 2-A § 19(1); and the "maintenance of] order, enforce[ment of] the laws, protection of] property and preservation] and care for the safety, health, comfort and general welfare of the inhabitants of the city and visitors thereto,” id. art. 2-A § 20(13).
. Although there has been some debate among the Justices of the Supreme Court about the validity of the “no set of circumstances” standard, see generally Congregation Rabbinical Coll. of Tartikov, Inc. v. Vill. of Pomona,
. Under Local Law 69, refrigerants include "any substances consisting in whole or in part of a class I or class II ozone-depleting substance, which are used for heat transfer purposes and provide a cooling effect ...." N.Y.C. Admin. Code § 16-480. For its definition of “class I or class II ozone-depleting substance,” the Law refers to § 602 of the Clean Air Act. In addition to the five CFC compounds covered by Article 38 of the N.Y. ECL, the Clean Air Act — and by extension Local Law 69 — also covers the following CFC compounds: CFC-13, CFC-111, CFC-112, CFC-211, CFC-212, CFC-213, CFC-214, CFC-215, CFC-216 and CFC-217. 42 U.S.C. . § 7671a(a). These additional CFC compounds covered by Local Law 69 but not by Article 38 of the N.Y. ECL are not preempted by N.Y. ECL § 38-0107(3), so long as the former are not used in combination with the latter.
