Proper disposal of “e-waste”—all the hardware and software associated with computers—is a clear concern for any business. In that respect, ensuring that trade secrets and other privileged information don’t get tossed out with the trash when disposing of obsolete computers and other high-tech equipment tops the list. In fact, a Gartner Inc. survey of 300 companies across various industries found that almost 70% rated managing data security and privacy risks a “most important” concern in asset disposition.

But the issue is taking on increasing weight outside the confines of America’s businesses, as the number of states adopting laws regulating the disposal of e-waste continues to grow and the new Democratic majority in Congress reviews a variety of proposed federal laws in 2007.

According to an October 2006 report by the National Center for Electronics Recycling, A Study of the State-by-State E-Waste Patchwork, the standardization resulting from a national e-waste law could turn out to be a good thing for business. The current conglomeration of state programs results in recurring “deadweight” costs of $25 million a year to public and private entities and average one-time costs of $2.9 million per state. Recurring deadweight costs could rise to $125 million a year if the number of state programs increases to its projected level of 20 from the current four. A standardized national program could greatly mitigate those costs.

But the standardization provided by national legislation would come at a price. Two of the bills wending their way through Congress would impose upfront recycling fees as high as $10 per unit on sales of personal computers and monitors. Another would prohibit landfill dumping of any electronic device with a four-inch or larger display screen, although it would offer tax incentives to encourage recycling of such devices, as would a fourth bill also under consideration.

Companies currently face fines—sometimes steep ones—for failing to comply with state e-waste programs, and that would continue under any of the proposed national laws. Businesses already are required under federal law to discover whether disposed products contain any landfill-polluting toxic compounds and to make sure discarded PCs are purged of sensitive customer data.