2021 -- S 0106

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LC000504

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     STATE OF RHODE ISLAND

IN GENERAL ASSEMBLY

JANUARY SESSION, A.D. 2021

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A N   A C T

RELATING TO HEALTH AND SAFETY -- BEVERAGE CONTAINER DEPOSIT

RECYCLING ACT OF 2021

     

     Introduced By: Senators Calkin, Anderson, Acosta, Mack, Mendes, Bell, and Quezada

     Date Introduced: January 26, 2021

     Referred To: Senate Environment & Agriculture

     It is enacted by the General Assembly as follows:

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     SECTION 1. Title 23 of the General Laws entitled "HEALTH AND SAFETY" is hereby

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amended by adding thereto the following chapter:

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CHAPTER 18.18

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BEVERAGE CONTAINER DEPOSIT RECYCLING ACT OF 2021

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     23-18.18-1. Definitions.

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     As used in this chapter:

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     (1) ''Beverage'' means an alcoholic beverage as defined in § 3-1-1 including, but not limited

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to, beer and other malt beverages, wine, and liquor; and any nonalcoholic carbonated or

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noncarbonated drinks in liquid form intended for internal human consumption including, but not

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limited to, soda water or similar carbonated soft drinks, water, mineral water, dairy drinks, fruit

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juices, sports drinks and energy drinks.

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     (2) ''Beverage container'' means any sealable bottle, can, jar, or carton which is primarily

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composed of glass, metal, plastic or any combination of those materials and is produced for the

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purpose of containing a beverage. This definition shall not include containers made of

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biodegradable material.

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     (3) ''Bottler'' means any person filling beverage containers for sale to distributors or dealers,

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including dealers who bottle or sell their own brand of beverage.

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     (4) ''Consumer'' means any person who purchases a beverage in a beverage container for

 

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use or consumption with no intent to resell such beverage.

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     (5) ''Dealer'' means any person, including any operator of a vending machine, who engages

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in the sale of beverages in beverage containers to consumers in this state.

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     (6) ''Distributor'' means any person who engages in the sale of beverages in beverage

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containers to dealers in this state including any bottler who engages in such sales.

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     (7) ''Label'' means a molded imprint or raised symbol on or near the bottom of a plastic

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product.

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     (8) ''Plastic'' means any material made of polymeric organic compounds and additives that

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can be shaped by flow.

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     (9) ''Plastic bottle'' means a plastic container that has a neck that is smaller than the body

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of the container, accepts a screw type, snap cap or other closure and has a capacity of sixteen fluid

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ounces (16 fl. oz.) or more, but less than five gallons (5 gal.).

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     (10) ''Rigid plastic container'' means any formed or molded container, other than a bottle,

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intended for single use, composed predominantly of plastic resin and having a relatively inflexible

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finite shape or form with a capacity of eight ounces (8 oz.) or more, but less than five gallons (5

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gal.).

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     (11) ''Reusable beverage container'' means any beverage container so constructed and

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designed that it is structurally capable of being refilled and resold by a bottler at least ten (10) times

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after its initial use.

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     23-18.18-2. Refund value; Exemption.

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     Every beverage container sold or offered for sale in the state shall have a refund value of

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not less than ten cents ($0.10). The provisions of this section shall not apply to such containers sold

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by a distributor for use by a common carrier in the conduct of interstate passenger service.

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     23-18.18-3. Refund of container refund; Refusal to accept container.

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     (a) Every consumer shall deposit with the dealer the refund value of each beverage

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container purchased from that dealer.

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     (b) Except as provided in subsection (f) of this section, a dealer shall accept from any

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person during business hours any empty beverage container of the type, size and brand sold by the

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dealer within the past sixty (60) days and shall pay that person the refund value of each beverage

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container returned.

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     (c) Except as provided in subsection (f) of this section, a distributor shall accept from any

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dealer any empty beverage container of the type, size and brand sold by the distributor within the

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past sixty (60) days and shall pay the dealer the refund value of the beverage container plus a

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handling fee of at least four cents ($0.04) per container if the empty beverage container is presented

 

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at the time of and at the location at which the dealer obtains filled beverage containers from the

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distributor.

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     (d) Except as provided in subsection (f) of this section, a bottler shall accept from a

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distributor or a dealer any empty reusable beverage container of the type, size, and brand sold by

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the bottler within the past sixty (60) days and shall pay the distributor or dealer the refund value of

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the reusable beverage container plus a handling fee of at least four cents ($0.04) per container if

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the empty reusable beverage container is presented at the time and at the location where the

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distributor or dealer obtains filled reusable beverage containers from the bottler; provided,

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however, that a bottler other than a bottler of soft drinks manufacturing in this state who offers to

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refund deposits in accordance with this section, shall not require a distributor to deposit with the

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bottler the refund value of a beverage container which is not reusable, nor shall a bottler require of

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a distributor that beverage containers which are not reusable, be presented to the bottler at the

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location where the distributor obtains filled beverage containers.

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     (e) Any person may establish a redemption center and shall have the right to determine

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what type, size and brand of beverage container shall be accepted. Except as provided in subsection

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(f) of this section, a distributor shall take from any redemption center any empty beverage container

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of the type, size and brand sold by the distributor within the past sixty (60) days and shall pay the

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redemption center the refund value of the container plus a handling fee of at least four cents ($0.04)

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per container.

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     (f) A dealer, distributor, redemption center or bottler may refuse to accept any beverage

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container which contains material foreign to the normal contents of the container.

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     (g) Any bottler or distributor who receives deposits and/or handling charges under this

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chapter shall segregate said deposits or handling charges in a fund which shall be maintained

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separately from all other revenues. Said bottler or distributor shall report on a monthly basis to the

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Rhode Island resource recovery corporation and the division of revenue, the amount of said deposits

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or handling charges received and the amount refunded.

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     (h) Any bottler or distributor who is subject to the provisions of subsection (c), (d) or (e)

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of this section shall maintain a separate account to be known as the deposit transaction fund. Said

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fund shall be kept separate from all other revenues and accounts. Each bottler or distributor shall

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place in said fund the refund value for all non-reusable beverage containers it sells subject to the

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provisions of this chapter.

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     Except as specified in subsection (d) of this section, amounts in such fund may only be

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expended to pay refund values paid after January 1, 2022, for returned non-reusable beverage

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containers pursuant to subsection (c), (d) or (e) of this section. Amounts in such fund shall not be

 

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used to pay the handling fees required by subsection (c), (d) or (e) of this section. Each such fund

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shall be maintained by said bottlers and distributors on behalf of consumers who have purchased

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refundable non-reusable beverage containers and on behalf of the state; except as specified in § 23-

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18.18-6, for no purpose are amounts in such fund to be regarded as income of said bottlers or

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distributors.

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     (i) The obligations to accept or take empty beverage containers and to pay the refund value

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and handling fees for such containers as described in subsections (b), (c), (d) and (e) of this section

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shall apply only to containers originally sold in this state as filled beverage containers. Any person

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who tenders to a dealer, distributor, redemption center or bottler more than ten (10) cases of twenty-

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four (24) empty beverage containers each, which a person knows or has reason to know were not

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originally sold in this state as filled beverage containers, for the purpose of obtaining a refund value

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or handling fee, shall be subject to the enforcement action and civil penalties set forth in § 23-

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18.18-10. For the purpose of this section and § 23-18.18-10, the term person shall include any

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individual, partnership, corporation, or other combination or entity.

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     23-18.18-4. Reports by bottlers and distributors of transactions affecting deposit

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transaction fund.

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     Every bottler or distributor shall report to the director of the division of revenue by the

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tenth day of each month, concerning transactions affecting its deposit transaction fund in the

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preceding month. Such report shall be made in a form prescribed by said director and shall include

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the number of non-reusable beverage containers sold and the number of non-reusable beverage

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containers returned in said month, the amount of deposits received in and payments made from said

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fund in said month and the most recent three (3) month period, any income earned on amounts in

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the deposit transaction fund during said preceding month, the balance in said deposit transaction

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fund at the close of said preceding month, and such other information as the director of revenue

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may require in furtherance of the director's duties pursuant to this chapter.

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     23-18.18-5. Abandoned deposit amounts; Determination and transfer.

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     (a) At the end of each month, any amounts that are or should be in a bottler's or distributor's

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deposit transaction fund and that are in excess of the sum of:

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     (1) Interest income earned on amounts in said account during that month; and

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     (2) The total amount of refund values received by said bottler or distributor for non-

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reusable beverage containers during that month and the two (2) preceding months shall be deemed

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to constitute abandoned deposit amounts. Income earned on said fund may be transferred from said

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fund for use as funds of the bottler or distributor.

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     (b) By the tenth day of each month, each bottler or distributor shall turn over to the director

 

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of the division of revenue any deposit amounts deemed to be abandoned at the close of the

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preceding month, pursuant to subsection (a) of this section. Such amounts may be paid from the

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deposit transaction fund. Amounts collected by the director of the division of revenue pursuant to

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this subsection shall be deposited in the water pollution control revolving fund established by § 46-

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12.2-6.

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     23-18.18-6. Reimbursements to bottlers or distributors.

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     If in any month the authorized payments from the deposit transaction fund by a bottler or

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distributor pursuant to § 23-18.18-2 exceed the funds that are or should be in its deposit transaction

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fund, the state shall reimburse said bottler or distributor, from amounts received pursuant to § 23-

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18.18-5, for those refunds paid by the bottler or distributor for non-reusable beverage containers

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for which the funds that are or should be in its deposit transaction fund are insufficient; provided,

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however, that such reimbursements to a bottler or distributor for a month shall not exceed the excess

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of:

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     (1) Amounts paid by said bottler or distributor to the state pursuant to § 23-18.18-5 in the

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preceding twenty-four (24) months over;

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     (2) Amounts paid by this state to said bottler or distributor pursuant to this section during

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said twenty-four (24) months.

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     23-18.18-7. Holding or connecting devices; Break down by bacteria or light.

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     No dealer shall sell or offer for sale in the state containers connected to each other by a

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separate holding device constructed of plastic rings or any other device or material which cannot

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be broken down by bacteria and or by light into constituent parts as provided in chapter 38 of this

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title.

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     23-18.18-8. Refund value; Statement on container; Vending machines.

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     (a) Every beverage container, except permanently labelled reusable glass containers,

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imported into, or offered for sale in the state by a bottler, distributor, or dealer shall clearly indicate

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in at least eight (8) point type, by embossing or by stamp, or by label, or other method securely

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affixed to any portion except the bottom of the beverage container, the refund value of the container.

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A permanently labelled reusable glass beverage container first imported into, or offered for sale in

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this state after the effective date of this chapter by a bottler, distributor, or dealer shall clearly

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indicate in at least eight (8) point type, by embossing or by stamp, or by label, or other method

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securely affixed to any portion except the bottom of the permanently labelled reusable glass

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beverage container, that the container may be returned for deposit. A dealer, distributor, redemption

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center, or bottler, may refuse to accept from any person any empty beverage container, except a

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permanently labelled reusable glass beverage container, which does not state thereon a refund value

 

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and may refuse to accept any permanently labelled reusable glass beverage container which does

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not state thereon that the container may be returned for deposit.

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     (b) Every operator of a vending machine which sells beverages in beverage containers shall

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post a conspicuous notice on each vending machine indicating that a refund of not less than ten

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cents ($0.10) is available on each beverage container purchased and where and from whom that

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refund may be obtained. The provisions of this subsection shall not be construed to require such

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vending machine operators to provide refunds at the premises wherein such vending machines are

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located.

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     23-18.18-9. Administration of provisions relating to bottlers and distributors; rules

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and regulations.

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     (a) The director of the department of environmental management shall administer the

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provisions of §§ 23-18.18-1, 23-18.18-2, 23-18.18-3(a) through (f), inclusive, 23-18.18-7, and 23-

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18.18-8. Said director shall promulgate rules and regulations to effectuate the purposes of said

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sections.

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     (b) The director of the division of revenue shall administer the provisions of §§ 23-18.18-

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3 (g) through (i), 23-18.18-4, 23-18.18-5 and 23-18.18-6.

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     The director of the division of revenue shall promulgate and from time to time revise rules

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and regulations to effectuate the purposes of said sections. Said rules and regulations shall include

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a provision to permit bottlers or distributors to borrow, without any interest charge, against their

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deposit transaction funds subject to such terms and conditions as the director deems appropriate.

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     23-18.18-10. Enforcement.

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     (a) The attorney general shall enforce the provisions of this chapter. Any bottler,

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distributor, redemption center or dealer who violates any provisions of this chapter or any person

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who violates § 23-18.1-3 shall be subject to a civil penalty for each violation of not more than one

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thousand dollars ($1,000).

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     (b) Any bottler or distributor failing to make full and timely payments as required by § 23-

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18.18-5 shall pay interest on any unpaid amounts at the rate of one and one-half percent (1.5%) for

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each month or part thereof until payment is made in full; provided, however, that any person,

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including a bottler, distributor, redemption center or dealer, who violates the provisions of § 23-

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18.18-3(i) shall be subject to a civil penalty of not less than one hundred dollars ($100) for each

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container or twenty-five thousand dollars ($25,000) for each tender of containers.

 

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     SECTION 2. This act shall take effect on January 1, 2022.

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EXPLANATION

BY THE LEGISLATIVE COUNCIL

OF

A N   A C T

RELATING TO HEALTH AND SAFETY -- BEVERAGE CONTAINER DEPOSIT

RECYCLING ACT OF 2021

***

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     This act would create a refundable ten cent ($0.10) deposit for non-reusable beverage

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containers. A four cents ($0.04) handling fee would be paid by distributors.

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     This act would take effect on January 1, 2022.

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