Indiana 2009 bill text
House Bill 1570
The following text was found at http://www.in.gov/legislative/bills/2009/IN/IN1570.1.html
Conflict reconciliation: Text in a statute in this style type or this style type reconciles conflicts between statutes enacted by the 2008 Regular Session of the General Assembly.
A BILL FOR AN ACT to amend the Indiana Code concerning environmental law and to make an appropriation.
Chapter 4. Beverage Container Deposits
Sec. 1. This chapter applies beginning January 1, 2010.
Sec. 2. As used in this chapter "beverage" means the following:
(1) A soft drink, soda water, carbonated natural or mineral water, or other nonalcoholic carbonated drink.
(2) Beer, ale, or other malt drink of whatever alcoholic content.
(3) A mixed wine drink or a mixed spirit drink.
(4) Noncarbonated water, including spring water, purified water, and flavored water.
(5) Tea, including flavored tea.
Sec. 3. As used in this chapter "beverage container" means an airtight metal, glass, or plastic container, or a container composed of a combination of these materials, which, at the time of sale,
contains one (1) gallon or less of a beverage.
Sec. 4. As used in this chapter "department" refers to the department of state revenue.
Sec. 5. As used in this chapter "distributor" means a person who sells beverages in beverage containers to a retailer within Indiana, and includes a manufacturer who engages in these sales.
Sec. 6. As used in this chapter "empty returnable container" means a beverage container that contains nothing except the residue of its original contents.
Sec. 7. As used in this chapter "manufacturer" means a person that bottles, cans, or otherwise places a beverage in beverage containers for sale to a distributor, retailer, or consumer.
Sec. 8. As used in this chapter "mixed spirit drink" means a drink containing:
(1) ten percent (10%) or less alcohol by volume that consists of distilled spirits mixed with any one (1) or more of:
(A) nonalcoholic beverages;
(B) flavoring;
(C) coloring materials;
(D) water;
(E) fruit juices;
(F) fruit adjuncts;
(G) sugar;
(H) carbon dioxide;
(I) preservatives; or
(2) any spirits based beverage, regardless of the percent of alcohol by volume, that is manufactured for sale in a metal container.
Sec. 9. As used in this chapter "mixed wine drink" means a drink or similar product marketed as a wine cooler and containing less than seven percent (7%) alcohol by volume, consisting of wine and plain, sparkling, or carbonated water and containing any one (1) or more of the following:
(1) Nonalcoholic beverages.
(2) Flavoring.
(3) Coloring materials.
(4) Fruit juices.
(5) Fruit adjuncts.
(6) Sugar.
(7) Carbon dioxide.
(8) Preservatives.
Sec. 10. As used in this chapter "nonrefillable container" means
a returnable container that is not intended to be refilled for sale by a manufacturer.
Sec. 11. As used in this chapter "nonreturnable container" means a beverage container upon which no deposit is required to be paid under this chapter.
Sec. 12. As used in this chapter "operator of a vending machine" includes its owner, the person who refills it, and the owner or lessee of the property upon which it is located.
Sec. 13. As used in this chapter, "person" includes an association, a corporation, a fiduciary, an individual, a limited liability company, a partnership, or a sole proprietorship.
Sec. 14. As used in this chapter, "retailer" means a person who sells or offers for sale to an ultimate consumer a beverage in a beverage container, including an operator of a vending machine containing a beverage in a beverage container.
Sec. 15. As used in this chapter "returnable container" means a beverage container upon which a deposit is required to be paid under this chapter.
Sec. 16. As used in this chapter "sale or consumption area" means the premises within the property of the retailer or of the retailer's lessor where a sale is made.
Sec. 17. (a) Each beverage container sold or offered for sale by a retailer within Indiana shall clearly indicate by embossing or by a stamp, a label, or other method securely affixed to the beverage container, the refund value of the container and the name of the state of Indiana.
(b) This section does not apply to a refillable container having:
(1) a refund value of at least ten cents ($0.10);
(2) a brand name permanently marked on it; and
(3) a securely affixed method of indicating that it is a returnable container.
Sec. 18. (a) A deposit of ten cents ($0.10) shall be paid upon the removal of any beverage container containing a beverage from a sale or consumption area.
(b) A beverage in a returnable container may be consumed in a sale or consumption area without payment of a deposit.
(c) A retailer within this state may not sell, offer for sale, or give to a consumer a nonreturnable container or a beverage in a nonreturnable container.
Sec. 19. (a) A manufacturer licensed by the alcohol and tobacco commission may not require a distributor licensed by the alcohol and tobacco commission to pay a deposit to the manufacturer on
a nonrefillable container. However, a manufacturer licensed by the alcohol and tobacco commission and a distributor licensed by the alcohol and tobacco commission may enter into an agreement providing that either or both may originate a deposit or any portion of a deposit on a nonrefillable container if the agreement is entered into freely and without coercion.
(b) A manufacturer shall refund the deposit paid on any container returned by a distributor for which a deposit has been paid by a distributor to the manufacturer.
Sec. 20. (a) Except as provided in subsections (c) and (d), a retailer shall accept from a person an empty returnable container of any kind, size, and brand sold or offered for sale by that retailer and pay to that person its full refund value in cash.
(b) Except as provided in section (d), a distributor shall accept from a retailer an empty returnable container of any kind, size, and brand sold or offered for sale by that distributor and pay to the retailer its full refund value in cash.
(c) A retailer that does not require a deposit on a returnable container when the contents are consumed in the retailer's sale or consumption area is not required to pay a refund for accepting that empty container.
(d) A retailer or distributor may, but is not required to, refuse to accept from a person an empty returnable container that does not state on the container the refund value of the container and the name of this state. This subsection does not apply to a refillable container described in section 17(b) of this chapter.
Sec. 21. (a) A retailer who regularly sells beverages for consumption off the retailer's premises shall provide on the premises, or within one hundred (100) yards of the premises on which the retailer has a sale or consumption area, a convenient means so that a container of any kind, size, and brand sold or offered for sale by the retailer may be returned by, and the deposit refunded in cash to, a person, regardless of whether the person is the original customer of that retailer, and regardless of whether the container was sold by that retailer.
(b) Regional centers for the redemption of returnable containers may be established, in addition to, but not as a substitute for, the means established for refunds of deposits set forth in subsection (a).
Sec. 22. A person, retailer, distributor, or manufacturer shall not return an empty container to a retailer for a refund of the deposit if a retailer has already refunded the deposit on that
returnable container. This subsection does not prohibit a retailer from refunding the deposit on an empty returnable container each time the returnable container is sanitized by the manufacturer and reused as a beverage container.
Sec. 23. A retailer may accept, but is not required to accept, from a person, empty returnable containers for a refund in excess of twenty-five dollars ($25) on any given day.
Sec. 24. (a) Not later than March 1, 2011, and not later than March 1 of each year thereafter, a distributor or manufacturer who originates a deposit on a beverage container shall file a report with the department containing the information required by subsection (b).
(b) The report required to be filed under subsection (a) shall indicate for the period of January 1 through December 31 of the previous year, the dollar value of both the total deposits collected by the distributor or manufacturer on beverage containers sold within Indiana and total refunds made upon beverage containers redeemed by the distributor or manufacturer within Indiana.
(c) The report required to be filed under subsection (a) shall be designed by the department and contain the following information:
(1) The reporting period.
(2) Whether the filer is a distributor or manufacturer.
(3) The company name and full address.
(4) The amount of deposits received and refunds granted.
(5) The difference between the value of deposits received and value of refunds made.
(6) The amount of any over redemption credit claimed, if any.
(7) The amount owed to the department, if any.
(8) An acknowledgment that states that the above information is true and accurate.
(9) A place for the signature of the authorized agent of the filer and the date of the signature.
(10) Any other information the department considers necessary to administer this chapter.
Sec. 25. (a) The department may audit, assess, and collect the amount of money reflecting unclaimed bottle deposits owed to this state, and enforce the obligation to pay the amount of money reflecting unclaimed bottle deposits owed to the state of Indiana, in the same manner as revenues are collected by the department.
(b) During May each year, the department shall publish a report on the department's web site covering the department's activities under this section. The department shall provide the report to the
general assembly in an electronic format under IC 5-14-6.
Sec. 26. (a) As used in this section "overredeemer" means a distributor or manufacturer whose annual total value of deposits collected on beverage containers sold within Indiana is less than the annual total value of refunds made upon beverage containers redeemed within Indiana.
(b) As used in this section "underredeemer" means a distributor or manufacturer whose annual total value of deposits collected on beverage containers sold within Indiana exceeds annual total value of refunds made upon beverage containers redeemed within Indiana.
(c) Not later than March 1, 2011, and not later than March 1 of each year thereafter, an underredeemer shall pay to the department the amount by which its annual total value of deposits received exceeds its annual total value of refunds made on redeemed beverage containers, subject to the over redemption credit contained in this section.
(d) After 2011, an underredeemer who becomes an overredeemer in a subsequent year may credit the value of the overredemption to reduce the amount of money owed to the department under this section in one (1) or more subsequent years as a result of that person again becoming an underredeemer. The value of the overredemption may be carried forward for not more than three (3) years or until the credit granted in this section is completely depleted, whichever occurs first.
(e) A manufacturer who no longer originates deposits may carry the value of an overredemption back for prior years in order to utilize its credit, and reduce the amount of under redemption owed to the department under this section on a one-time basis only.
Sec. 27. (a) In addition to the information on the report prescribed in section 24 of this chapter, if an underredeemer purchases empty returnable containers from an overredeemer, that purchase shall be reported by the underredeemer as a refund made and shall be reported by the overredeemer as a deposit collected in an addendum to the report.
(b) The addendum to the report made by an underredeemer must include the name and address of each overredeemer and the refund value of the empty returnable beverage containers purchased from each overredeemer.
(c) The addendum to the report made by an overredeemer must include the name and address of each underredeemer who purchased the returnable containers from that overredeemer and
the refund value of the empty returnable beverage containers sold.
(d) The total consideration paid by an underredeemer to an overredeemer as authorized by this section must equal the redemption value of the container.
(e) A purchase or sale made under subsection (a) during January of each year must be included in the report for the previous calendar year only.
Sec. 28. (a) The bottle deposit fund is established as a dedicated fund for the receipt of all revenue collected by the department under this chapter.
(b) The fund shall be administered by the treasurer of state. Any expenses incurred in administering the fund shall be paid from the fund. The treasurer of state shall invest the money in the fund not currently needed to meet the obligations of the fund in the same manner as other public money may be invested.
(c) Interest earned on money in the fund shall be credited to the fund.
(d) The amount paid to the department by underredeemers shall be deposited by the department in the fund.
(e) The money that is deposited in the fund each year is appropriated for the following purposes:
(1) Twenty-five percent (25%) shall be paid to retailers during the last business week in July each year, to be apportioned to each retailer on the basis of the number of empty returnable containers handled by a retailer the previous year, as determined by the department.
(2) Two percent (2%) is annually appropriated on July 31 each year to the department to offset the costs to the department for administering this chapter.
(3) The remainder shall be transferred on the first business day in August each year to the Indiana heritage trust fund established under IC 14-12-2.
(f) Money in the fund at the end of a state fiscal year does not revert to the state general fund. If the fund is abolished, any money in the fund reverts to the state general fund.
Sec. 29. Unclaimed deposits on returnable containers are considered to be the property of the person purchasing the returnable container and are not the property of the distributor or manufacturer who collected the deposit.
Sec. 30. (a) Except as provided in sections 31 and 32 of this chapter, a person, retailer, distributor, or manufacturer who violates this chapter is subject to a civil penalty of not less than one
hundred dollars ($100) and not more than one thousand dollars ($1,000). In addition, the violater is liable for the costs and attorney fees associated with any civil action filed to collect the penalty.
(b) Each day during which a violation continues to occur constitutes a separate offense.
(c) Any penalty assessed under this section shall be deposited in the bottle deposit fund established by section 28 of this chapter.
Sec. 31. (a) A person shall not return or attempt to return to a retailer for a refund one (1) or more of the following:
(1) A beverage container that the person knows or should know was not purchased in this state as a filled returnable container.
(2) A beverage container that the person knows or should know did not have a deposit paid for it at the time of purchase.
(b) A person who violates subsection (a) is subject to one (1) of the following:
(1) If the person returns at least twenty-five (25) but not more than one hundred (100) nonreturnable containers, the person commits a Class C infraction.
(2) If the person returns more than one hundred (100) nonreturnable containers or violates subsection (a) for a second or subsequent time, the person commits a Class C misdemeanor.
(c) A person who violates subsection (a) shall be ordered by the court to also pay an amount equal to the amount of loss caused to the retailer by the violation.
Sec. 32. (a) In that portion of the retailer's premises where returnable containers are redeemed, a retailer shall post a notice that says substantially the following: "A person who returns for refund an out-of-state nonreturnable container is subject to penalties of up to sixty (60) days in jail plus a fine of $500 and restitution.".
(b) A retailer that fails to comply with this section is subject to a civil penalty not to exceed fifty dollars ($50) for each day the failure continues.
