Connecticut 2007 bill text

Senate Bill 1289

The following text was found at http://www.cga.ct.gov/asp/cgabillstatus/cgabillstatus.asp?selBillType=Bill&bill_num=SB01289&which_year=2007

Referred to Committee on Environment
Introduced by:
(ENV)

AN ACT CONCERNING THE EXPANSION OF THE BEVERAGE CONTAINER REDEMPTION PROVISIONS.

Be it enacted by the Senate and House of Representatives in General Assembly convened:

Section 1. Section 22a-243 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2007):

For purposes of sections 22a-243 to 22a-245, as amended by this act, and sections 4 and 6 of this act, inclusive, unless the context clearly indicates otherwise:

(1) "Beverage" means beer or other malt beverages, [and mineral waters,] soda water and similar carbonated soft drinks in liquid form [and] intended for human consumption, water and other noncarbonated nonalcoholic drinks in liquid form intended for human consumption;

(2) "Beverage container" means the individual, separate, sealed glass, [metal] aluminum or plastic bottle, can, jar or carton less than three quarts in size and containing a beverage;

(3) "Consumer" means every person who purchases a beverage in a beverage container for use or consumption;

(4) "Dealer" means every person who engages in the sale of beverages in beverage containers to a consumer;

(5) "Distributor" means every person who engages in the sale of beverages in beverage containers to a dealer in this state including any manufacturer who engages in such sale and includes a dealer who engages in the sale of beverages in beverage containers on which no deposit has been collected prior to retail sale;

(6) "Manufacturer" means every person bottling, canning or otherwise filling beverage containers for sale to distributors or dealers;

(7) "Place of business of a dealer" means the location at which a dealer sells or offers for sale beverages in beverage containers to consumers;

(8) "Redemption center" means any facility established to redeem empty beverage containers from consumers or to collect and sort empty beverage containers from dealers and to prepare such containers for redemption by the appropriate distributors;

(9) "Use or consumption" includes the exercise of any right or power over a beverage incident to the ownership thereof, other than the sale or the keeping or retention of a beverage for the purposes of sale;

(10) "Nonrefillable beverage container" means a beverage container which is not designed to be refilled and reused in its original shape;

(11) "Reverse vending machine" means an automated device that accepts beverage containers from redeemers and issues scrip for any beverage container refund value by using a laser scanner, microprocessor, or other technology to recognize the Universal Product Code (UPC) or other accepted industry barcode on beverage containers to determine if the container is redeemable and that accumulates information regarding containers redeemed;

(12) "Off-site redemption center" means a redemption center that is located within a one-mile radius of a dealer, and that accepts beverage containers of the kind, size and brand sold by such dealer at the dealer's place of business; and

(13) "Deposit initiator" means the first distributor who is not a manufacturer to sell a beverage container in this state or a manufacturer who sells a beverage container to a person who sells a beverage container.

Sec. 2. Section 22a-244 of the general statutes is repealed and the following is substituted in lieu thereof (Effective upon the enactment by the states of New York and Massachusetts of legislation having like effect as this section):

(a) Every beverage container sold or offered for sale in this state, except beverage containers sold or offered for sale for consumption on an interstate passenger carrier, shall have a refund value. Such refund value shall not be less than [five] ten cents and shall be a uniform amount throughout the distribution process in this state.

(b) Every beverage container sold or offered for sale in this state, except beverage containers sold or offered for sale for consumption on an interstate passenger carrier, shall clearly indicate by Connecticut specific barcode, embossing, [or by] a stamp, [or by] a label or other method securely affixed to the beverage container (1) either the refund value of the container or the words "return for deposit" or "return for refund" or other words as approved by the Department of Environmental Protection, and (2) either the word "Connecticut" or the abbreviation "Ct.", provided this subdivision shall not apply to glass beverage containers permanently marked or embossed with a brand name.

(c) No person shall sell or offer for sale in this state any metal or aluminum beverage container (1) a part of which is designed to be detached in order to open such container, or (2) that is connected to another beverage container by a device constructed of a material which does not decompose by photodegradation, chemical degradation or biodegradation within a reasonable time after exposure to the elements.

Sec. 3. Section 22a-245 of the general statutes is repealed and the following is substituted in lieu thereof (Effective October 1, 2007):

(a) No person shall establish a redemption center without registering with the commissioner on a form provided by the commissioner with such information as the commissioner deems necessary including (1) the name of the business principals of the redemption center and the address of the business; (2) the name and address of the sponsors and dealers to be served by the redemption center; (3) the types of beverage containers to be accepted; (4) the hours of operation; and (5) whether beverage containers will be accepted from consumers. The operator of the redemption center shall report any change in procedure to the commissioner within forty-eight hours of such change. Any person establishing a redemption center shall have the right to determine what kind, size and brand of beverage container shall be accepted. Any redemption center may be established to serve all persons or to serve certain specified dealers. Private and public educational institutions and municipalities may qualify to become redemption centers upon application to the Department of Environmental Protection. Private and public educational institutions shall not be required to pay consumers the refund value of beverage containers provided the refund value of such beverage containers is collected for the benefit of such institutions.

(b) A dealer shall not refuse to accept at such dealer's place of business, from any person any empty beverage containers of the kind, size and brand sold by the dealer, or refuse to pay to such person the refund value of a beverage container as established by subsection (a) of section 22a-244, as amended by this act, unless such container contains materials which are foreign to the normal contents of the container or unless such container is not labeled in accordance with subsection (b) of section 22a-244, as amended by this act, or unless such dealer sponsors, solely or with others, [a redemption center which is located within a one-mile radius of such place of business and which accepts beverage containers of the kind, size and brand sold by such dealer at such place of business or unless there is established by others, a redemption center which is located within a one-mile radius of such place of business and which accepts beverage containers of the kind, size and brand sold by such dealer at such place of business] an off-site redemption center. A dealer who sponsors an off-site redemption center shall post in a conspicuous location within ten feet of the entrances and exits of such dealer's business a notice stating the name, location, hours of operation and telephone number of the off-site redemption center. A dealer shall redeem an empty container of a kind, size or brand the sale of which has been discontinued by such dealer for not less than sixty days after the last sale by the dealer of such kind, size or brand of beverage container. Sixty days before such date, the dealer shall post, at the point of sale, notice of the last date on which the discontinued kind, size or brand of beverage container shall be redeemed.

(c) (1) Dealers operating a place of business of not less than one hundred thousand square feet in size shall certify to the Department of Environmental Protection that their beverage container redemption capacity equals or exceeds seventy per cent of their sales capacity of redeemable beverage containers. On-site redemption facilities established or significantly expanded on or after October 1, 2007, shall be located not more than two hundred feet from the business' main entrance. Dealers with on-site redemption facilities established prior to October 1, 2007, that are located more than two hundred feet from the business' main entrance shall post notices stating the location of the on-site redemption facility not more than ten feet from the business' entrances and exits.

(2) Dealers operating a place of business of less than one hundred thousand square feet in size shall certify to the Department of Environmental Protection that their on-site beverage container redemption capacity equals or exceeds seventy per cent of their sales capacity of redeemable beverage containers, or that the business uses an off-site redemption center. If the business uses an off-site redemption center, the dealer shall provide written verification to the Department of Environmental Protection that the off-site redemption center has agreed to serve as the dealer's designated redemption center, and certification that the off-site beverage container capacity is equivalent to seventy per cent of the dealer's sales capacity.

[(c)] (d) A distributor shall not refuse to accept from a dealer or from an operator of a redemption center, located and operated exclusively within the territory of the distributor or whose operator certifies to the distributor that redeemed containers were from a dealer located within such territory, any empty beverage containers of the kind, size and brand sold by the distributor, or refuse to pay to such dealer or redemption center operator the refund value of a beverage container as established by subsection (a) of section 22a-244, as amended by this act, unless such container contains materials which are foreign to the normal contents of the container or unless such container is not labeled in accordance with subsection (b) of section 22a-244, as amended by this act. A distributor shall remove any empty beverage container from the premises of a dealer serviced by the distributor or from the premises of a redemption center sponsored by dealers serviced by the distributor, provided such premises are located within the territory of the distributor, not later than seven business days after notification by the dealer that empty beverage containers are available for removal. Any distributor who requires empty beverage containers that are not redeemed through a reverse vending machine to be packaged for removal in bags, cartons or other containers shall provide each dealer or redemption center a sufficient number of bags, cartons or other containers at no cost to the dealer or redemption center. The bags, cartons, or other containers shall be provided by the distributor on a schedule that allows the dealer or redemption center sufficient time to sort the empty beverage containers prior to removal by the distributor. The distributor shall provide the necessary staff or equipment for the removal of the empty beverage containers. A distributor shall not require empty beverage containers to be counted at a location other than the redemption center or dealer's place of business. The dealer or operator of the redemption center shall have the right to be present at the count. The distributor shall pay the refund value to dealers in accordance with the schedule for payment by the dealer to the distributor for full beverage containers and shall pay such refund value to operators of redemption centers not more than twenty days after receipt of the empty container. For the purposes of this subsection, a redemption center shall be considered to be sponsored by a dealer if (1) the dealer refuses to redeem beverage containers and refers consumers to the redemption center, or (2) there is an agreement between the dealer and the operator of the redemption center requiring the redemption center to remove empty beverage containers from the premises of the dealer. A distributor shall redeem an empty container of a kind, size or brand of beverage container the sale of which has been discontinued by the distributor for not less than one hundred fifty days after the last delivery of such kind, size or brand of beverage container. Not less than one hundred twenty days before the last date such containers may be redeemed, the distributor shall notify such dealer who bought the discontinued kind, size or brand of beverage container that such distributor shall not redeem an empty beverage container of such kind, size or brand of beverage containers.

[(d)] (e) In addition to the refund value of a beverage container as provided in subsection (a) of section 22a-244, as amended by this act, a distributor shall pay to any dealer or operator of a redemption center a handling fee of at least [one and one-half cents for each container of beer or other malt beverage and two] three cents for each beverage container [of mineral waters, soda water and similar carbonated soft drinks] returned for redemption. A distributor shall not be required to pay to a manufacturer the refund value of a nonrefillable beverage container.

[(e)] (f) The Commissioner of Environmental Protection shall adopt regulations, in accordance with the provisions of chapter 54, to implement the provisions of sections 22a-243 to 22a-245, inclusive, as amended by this act. Such regulations shall include, but not be limited to, provisions for the redemption of beverage containers dispensed through automatic vending machines, the use of vending machines which dispense cash to consumers for redemption of beverage containers, scheduling for redemption by dealers and distributors and for exemptions or modifications to the labeling requirement of section 22a-244, as amended by this act.

Sec. 4. (NEW) (Effective April 1, 2007, and applicable to sales occurring on or after April 1, 2007) (a) Each deposit initiator shall open a special interest-bearing account to the credit of the deposit initiator. Each deposit initiator shall invest in such account an amount equal to the refund value established pursuant to subsection (a) of section 22a-244 of the general statutes, as amended by this act, for each beverage container containing water or other noncarbonated nonalcoholic drinks sold by such deposit initiator. Such investment shall be made not more than three days after the date such beverage container was sold. All interest, dividends and returns earned on the special account shall be paid directly into such account. Such moneys shall be kept separate and apart from all other moneys in the possession of the deposit initiator.

(b) Any reimbursement of the refund value for a redeemed beverage container containing water or other noncarbonated nonalcoholic drinks shall be paid from the deposit initiator's special account in the manner prescribed in the accounting system established by the Commissioner of Revenue Services.

(c) Each deposit initiator shall submit a report on July 31, 2007, for the immediately preceding calendar quarter, and one month after the close of each calendar quarter thereafter, to the Commissioner of Environmental Protection, on a form prescribed by the commissioner and with such information the commissioner deems necessary, including, but not limited to: (1) The balance in the special account at the beginning of the quarter for which the report is prepared; (2) a list of all deposits credited to such account during such quarter, including all refund values paid to the deposit initiator and all interest, dividends or returns received on the account; (3) a list of all withdrawals from such account during such quarter, all service charges and overdraft charges on the account and all payments made pursuant to subsection (d) of this section; and (4) the balance in the account at the close of the quarter for which the report is prepared.

(d) The balance outstanding in the special account shall be paid by the deposit initiator one month after the close of the calendar quarter to the commissioner for deposit in the beverage container redemption assistance account established by section 6 of this act. If the amount of the required payment pursuant to this subsection is not paid within seven days after it is due, a penalty of ten per cent of the amount due shall be added to the amount due and an additional five per cent penalty shall be added for each day thereafter that such payment is not submitted. Such penalties shall not be paid from funds maintained in the special account.

(e) If moneys deposited in the special account are insufficient to pay for withdrawals authorized pursuant to subsection (b) of this section, such deficiency shall be added, with interest, to the succeeding payment due pursuant to subsection (d) of this section.

(f) The State Treasurer may, independently or upon request of the commissioner, examine the accounts and records of any deposit initiator referring to accounts and records maintained under sections 22a-243 to 22a-245, inclusive, of the general statutes, as amended by this act, including receipts, disbursements and such other items as the Treasurer deems appropriate. The Treasurer may assess a surcharge in the amount of ten per cent per annum for any audit adjustments to accounts or records maintained under said sections 22a-243 to 22a-245, inclusive, of the general statutes, as amended by this act, and this section, during any fiscal year, and ten per cent per annum, together with interest, for any underpayment of the payment established by subsection (d) of this section. Such penalties shall not be paid from funds maintained in the special account.

(g) The Attorney General may, independently or upon complaint of the commissioner, institute any appropriate action or proceeding to enforce any provision of this section or any regulation adopted pursuant to section 22a-245 of the general statutes, as amended by this act, to implement the provisions of this section.

Sec. 5. Section 22a-246 of the general statutes is repealed and the following is substituted in lieu thereof (Effective April 1, 2007, and applicable to sales occurring on or after April 1, 2007):

Any person who violates any provision of section 22a-244, as amended by this act, [or] 22a-245, as amended by this act, or section 4 of this act shall be fined not less than fifty dollars nor more than one hundred dollars, and for a second offense shall be fined not less than one hundred dollars nor more than two hundred dollars and for a third and each additional offense shall be fined not less than two hundred fifty dollars nor more than five hundred dollars.

Sec. 6. (NEW) (Effective July 1, 2007) There is established a beverage container redemption assistance account, which shall be a separate, nonlapsing account within the General Fund which shall be funded from the transfer of the balance of the special accounts, in accordance with section 4 of this act. The proceeds from such transfer shall be used for a grant to the Department of Environmental Protection, twenty per cent of such proceeds which shall be retained by the Department of Environmental Protection to fund recycling education and outreach programs of the department and to enable the department to assist municipalities to achieve the goal of fifty-eight per cent municipal solid waste disposal diversion as set forth in the state-wide solid waste management plan established under section 22a-228 of the general statutes; and eighty per cent of such proceeds which shall be used for grants-in-aid to municipalities to promote recycling.

This act shall take effect as follows and shall amend the following sections:
Section 1	October 1, 2007	22a-243
Sec. 2	upon the enactment by the states of New York and Massachusetts of legislation having like effect as this section	22a-244
Sec. 3	October 1, 2007	22a-245
Sec. 4	April 1, 2007, and applicable to sales occurring on or after April 1, 2007	New section
Sec. 5	April 1, 2007, and applicable to sales occurring on or after April 1, 2007	22a-246
Sec. 6	July 1, 2007	New section

Statement of Purpose:

To expand the bottle deposit provisions and to recapture some of the unclaimed bottle and can deposits.

[Proposed deletions are enclosed in brackets. Proposed additions are indicated by underline, except that when the entire text of a bill or resolution or a section of a bill or resolution is new, it is not underlined.]