What does 'industrial solid waste' mean under Texas Rule 3.356?

Subject

Industrial Solid Waste — Definition

Source

• STAR search: https://star.comptroller.texas.gov/search?doc_type_code=L&tax_type_code=SST
• Opinion: https://star.comptroller.texas.gov/view/9403L1292B13

Plain-English Summary

This is an internal Texas Comptroller memo (not a letter to a specific taxpayer) that defines the term "industrial solid waste" as it is used in Rule 3.356. According to the memo, industrial solid waste means waste products that result from the actual manufacturing process itself — the memo gives sawdust from lumber mills and slag from steel manufacturing as examples. The memo is explicit that the term does not cover empty paint cans or the discarded shipping refuse (packaging materials) in which raw materials were received — those are not treated as industrial solid waste under Rule 3.356.

The memo backs up this definition with the broader statutory definition from the Texas Solid Waste Disposal Act, which defines "industrial solid waste" as solid waste resulting from or incidental to a process of industry or manufacturing, mining, or agricultural operation. It also cites the Act's statement of policy and purpose, found at Health and Safety Code Section 361.002, which explains that the chapter exists to safeguard public health, welfare, and property and to protect the environment by controlling the management of solid waste, including hazardous waste.

The memo notes that the Solid Waste Disposal Act regulates disposal of the potentially harmful waste products — including hazardous waste and industrial solid waste — that result from actual manufacturing and processing activities, and that the Texas Water Commission, the Texas Department of Health, and other state and federal agencies closely monitor disposal of these waste types.

What This Means For You

If you manufacture or process goods in Texas: Waste that comes directly out of your manufacturing process — like sawdust, slag, or similar production byproducts — falls within the "industrial solid waste" definition used in Rule 3.356. This distinction matters for how that waste is classified and regulated.

If you are trying to classify packaging or shipping materials: According to this memo, empty containers (like paint cans) and discarded shipping refuse used to receive raw materials are specifically excluded from the "industrial solid waste" definition — they are treated differently from actual manufacturing-process byproducts.

If you need the broader statutory framework: The memo points to the Texas Solid Waste Disposal Act's own definition (waste resulting from or incidental to a process of industry, manufacturing, mining, or agricultural operation) and its statement of purpose at Health and Safety Code Section 361.002, which underlies why this category of waste is separately tracked and regulated.

Q&A

Q: Does "industrial solid waste" include packaging materials like empty paint cans?
A: No. The memo specifically states that industrial solid waste "does not mean empty paint cans or the discarded shipping refuse in which raw materials were received."

Q: What are examples of waste that DOES count as industrial solid waste?
A: The memo gives sawdust from lumber mills and slag from a steel manufacturing process as examples — waste products resulting from the actual manufacturing process.

Q: What law explains why industrial solid waste is regulated?
A: The memo cites Health and Safety Code Section 361.002, part of the Texas Solid Waste Disposal Act, which states that the policy and purpose of the chapter is to safeguard health, welfare, and physical property and protect the environment by controlling the management of solid waste, including accounting for hazardous waste that is generated.

Citations

• Rule 3.356 (defines and uses the term "industrial solid waste")
• Health and Safety Code Section 361.002 (Texas Solid Waste Disposal Act statement of policy and purpose)

Original ruling text

DATE: March 17, 1994
TO: Garfield Grant, *****
FROM: Bettie Peterson, Tax Administration 2E10
SUBJECT: Definition of industrial solid waste

Industrial solid waste, as that term is used in Rule 3.356,
means waste products resulting from the actual manufacturing
process, such as sawdust from lumber mills, or slag
from a steel manufacturing process, etc. "Industrial solid
waste" does not mean empty paint cans or the discarded
shipping refuse in which raw materials were received.

The Texas Solid Waste Disposal Act provides:

"Industrial solid waste" means solid waste resulting
from or incidental to a process of industry or
manufacturing, or mining or agricultural operation.

The statement of policy and purpose behind the Solid Waste
Disposal Act regarding the type of waste the Act regulates
states:

It is the policy and the purpose of this chapter to
safeguard the health, welfare, and physical property of the
people and to protect the environment by controlling the
management of solid waste, including accounting for
hazardous waste that is generated.

Health and Safety Code Section 361.002.

The Solid Waste Disposal Act exists to regulate the disposal
of the potentially harmful waste products, including
hazardous waste and industrial solid waste, that result from
actual manufacturing and processing activities. The Texas
Water Commission, the Texas Department of Health, and other
state and federal agencies closely monitor the disposal of
these types of waste products.

Microfiche #'s 1038F01, 1162, A01, 1018B06, 944A13, 886D01,
1193F12, and 1164B11.

NOTE: Previous Accession Number 9403168L