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1 | AN ACT concerning safety.
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2 | Be it enacted by the People of the State of Illinois,
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3 | represented in the General Assembly:
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4 | Section 1. Short title. This Act may be cited as the State | |||||||||||||||||||
5 | Beverage Container Recycling Refunds Act. | |||||||||||||||||||
6 | Section 5. Definitions. In this Act: | |||||||||||||||||||
7 | "Agency" means the Illinois Environmental Protection | |||||||||||||||||||
8 | Agency. | |||||||||||||||||||
9 | "Beverage" means any drinkable liquid intended for human | |||||||||||||||||||
10 | oral consumption.
"Beverage" does not include: | |||||||||||||||||||
11 | (1) a drug regulated under the Federal Food, Drug, and | |||||||||||||||||||
12 | Cosmetic Act (21 U.S.C. 301 et seq.); | |||||||||||||||||||
13 | (2) infant formula; or | |||||||||||||||||||
14 | (3) a meal replacement liquid. | |||||||||||||||||||
15 | "Beverage container" means a prepackaged container, such | |||||||||||||||||||
16 | as a carton, pouch, or aseptic packaging which: | |||||||||||||||||||
17 | (1) is made of any multimaterial or material, | |||||||||||||||||||
18 | including, but not limited to, glass, plastic, or metal; | |||||||||||||||||||
19 | (2) is designed to be used for beverage storage one or | |||||||||||||||||||
20 | more times before being recycled; and | |||||||||||||||||||
21 | (3) has a volume of not more than one gallon. | |||||||||||||||||||
22 | "Beverage container processing mechanism" means any manual | |||||||||||||||||||
23 | or technological means by which empty beverage containers are |
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1 | properly identified and processed. | ||||||
2 | "Beverage producer" means a person who bottles, cans, or | ||||||
3 | otherwise fills beverage containers to sell to distributors, | ||||||
4 | importers, or retailers. | ||||||
5 | "Consumer" means a person who purchases a beverage | ||||||
6 | container in the State for use or consumption. | ||||||
7 | "Distributor" means a person, including, but not limited | ||||||
8 | to, a beverage producer, who engages in the sale of beverage | ||||||
9 | containers to a retailer in the State. | ||||||
10 | "Drop-off facility" means a specific area where | ||||||
11 | individuals may bring household recyclable materials to be | ||||||
12 | sorted into material-specific receptacles. | ||||||
13 | "Importer" means a retailer or beverage producer who | ||||||
14 | directly imports beverage containers into the State. | ||||||
15 | "Line breakage" means a beverage container that becomes | ||||||
16 | defective or damaged during manufacturing, is not meant for | ||||||
17 | sale, and is not eligible for redemption. | ||||||
18 | "Material recovery facility" means a facility that | ||||||
19 | receives, separates, and sells or otherwise distributes | ||||||
20 | postconsumer materials for recycling. | ||||||
21 | "Member" means a distributor or importer who has joined | ||||||
22 | the Organization and paid all applicable fees. | ||||||
23 | "Nonprofit organization" means an organization established | ||||||
24 | and operated as a nonprofit organization under Section | ||||||
25 | 501(c)(3) of the Internal Revenue Code of 1986. | ||||||
26 | "Organization" means the Distributor and Importer |
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1 | Responsibility Organization established under Section 50.
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2 | "Retailer" means a person or business in the State who | ||||||
3 | engages in the sale of beverage containers to a consumer. | ||||||
4 | "Store" means an individual location where a retailer | ||||||
5 | sells beverage containers. | ||||||
6 | Section 10. Beverage container recycling redemption refund | ||||||
7 | program. | ||||||
8 | (a) Except as otherwise provided in this Section, each | ||||||
9 | beverage container sold or offered for sale in the State shall | ||||||
10 | have the following redemption refund value: | ||||||
11 | (1) ten cents for a beverage container of 24 fluid | ||||||
12 | ounces or less; and | ||||||
13 | (2) fifteen cents for a beverage container of more | ||||||
14 | than 24 fluid ounces. | ||||||
15 | (b) The Agency may change each redemption refund value | ||||||
16 | under subsection (a), by rule, so long as the changed refund | ||||||
17 | value is not based on the type of postconsumer material being | ||||||
18 | recycled, not more often than: | ||||||
19 | (1) once during any 10-year period and in consultation | ||||||
20 | with the Organization; and | ||||||
21 | (2) once during any 5-year period and after receiving | ||||||
22 | a request from the Organization for a change to one or both | ||||||
23 | redemption refund amounts, if the Agency's change conforms | ||||||
24 | with the Organization's request. | ||||||
25 | (c) Prior to any change in the redemption refund value |
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1 | under subsection (b), the Agency must undergo a notice and | ||||||
2 | comment review period with at least 60 days' notice to the | ||||||
3 | public. | ||||||
4 | (d) If the redemption rate publicly reported by the | ||||||
5 | Organization under Section 60 does not reach 85% for 3 | ||||||
6 | consecutive calendar years after being required to do so under | ||||||
7 | paragraph (3) of subsection (a) of Section 55, then each | ||||||
8 | beverage container sold or offered for sale in the State shall | ||||||
9 | have the following redemption refund value: | ||||||
10 | (1) fifteen cents for a beverage container of 24 fluid | ||||||
11 | ounces or less; and | ||||||
12 | (2) twenty cents for a beverage container of more than | ||||||
13 | 24 fluid ounces. | ||||||
14 | (e) Any moneys designated for redemption refunds but that | ||||||
15 | are not claimed by consumers shall be used by the Organization | ||||||
16 | to support its administrative costs and to perform the | ||||||
17 | activities required under this Act. | ||||||
18 | (f) A person may receive a redemption refund under this | ||||||
19 | Act only for a beverage container submitted in a standard bag | ||||||
20 | that is sold by the Organization and meets any requirements | ||||||
21 | determined by the Organization. | ||||||
22 | Section 15. Material flows. When a consumer redeems a | ||||||
23 | beverage container in accordance with this Act, the | ||||||
24 | Organization becomes the owner of that beverage container and | ||||||
25 | may: |
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1 | (1) sell it to a buyer of its choosing; or | ||||||
2 | (2) on its own or via a third party, process the | ||||||
3 | beverage container for refill if it is reusable. | ||||||
4 | Section 20. Means of redemption. | ||||||
5 | (a) A retailer who operates a store must: | ||||||
6 | (1) if the store has 30 or more parking spots | ||||||
7 | available for its customers' use, permit the Organization | ||||||
8 | to: | ||||||
9 | (A) collect bags of redeemable beverage containers | ||||||
10 | in a space of the retailer's choosing within the | ||||||
11 | available parking spots; and | ||||||
12 | (B) install, maintain, and service at least one | ||||||
13 | other beverage container processing mechanism inside | ||||||
14 | or immediately outside of the store on property that | ||||||
15 | the retailer owns or leases for operation of the | ||||||
16 | store; or | ||||||
17 | (2) if the store has fewer than 30 parking spots | ||||||
18 | available for its customers' use, permit the Organization | ||||||
19 | to install, maintain, and service at least 2 beverage | ||||||
20 | container processing mechanisms inside or immediately | ||||||
21 | outside of the store on property that the retailer owns or | ||||||
22 | leases for operation of the store; or | ||||||
23 | (3) if the retailer does not, within 90 days after | ||||||
24 | receiving a request in a reasonable manner from the | ||||||
25 | Organization, notify the Organization that the retailer |
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1 | will permit the Organization to perform an activity under | ||||||
2 | paragraph (1) or (2) or accept beverage containers at the | ||||||
3 | store, pay a civil penalty representing the applicable | ||||||
4 | redemption refund value described in Section 10 in the | ||||||
5 | following amounts: | ||||||
6 | (A) if the store has an area equal to or greater | ||||||
7 | than 5,000 square feet, the redemption refund value of | ||||||
8 | up to 250 beverage containers per day that the | ||||||
9 | Organization is unable to perform that activity | ||||||
10 | because of the retailer's failure to notify the | ||||||
11 | Organization; | ||||||
12 | (B) if the store has an area that is more than | ||||||
13 | 1,000 square feet and less than 5,000 square feet, the | ||||||
14 | redemption refund value of up to 50 beverage | ||||||
15 | containers per day that the Organization is unable to | ||||||
16 | perform that activity because of the retailer's | ||||||
17 | failure to notify the Organization; and | ||||||
18 | (C) if the store has an area that is 1,000 square | ||||||
19 | feet or less and sells more than one million beverage | ||||||
20 | containers per year, the redemption refund value of up | ||||||
21 | to 25 beverage containers per day that the | ||||||
22 | Organization is unable to perform that activity | ||||||
23 | because of the retailer's failure to notify the | ||||||
24 | Organization. | ||||||
25 | (b) A retailer need not meet the requirements under | ||||||
26 | subsection (a) until the Organization requests permission to |
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1 | install, maintain, and service a beverage container processing | ||||||
2 | mechanism inside or immediately outside of the store on | ||||||
3 | property that the retailer owns or leases for operation of the | ||||||
4 | store. | ||||||
5 | (c) Notwithstanding subsections (a) and (b), a retailer | ||||||
6 | shall, upon request by the Organization regarding a particular | ||||||
7 | store of the retailer: | ||||||
8 | (1) offer for sale at that particular store the | ||||||
9 | standard bags described under subsection (f) of Section | ||||||
10 | 10; | ||||||
11 | (2) permit the Organization to install, service, and | ||||||
12 | operate at least one beverage container processing | ||||||
13 | mechanism in a space inside or immediately outside of that | ||||||
14 | store on property that the retailer owns or leases for | ||||||
15 | operation of the store; and | ||||||
16 | (3) permit the Organization to install, service, and | ||||||
17 | operate a self-service kiosk that prints redemption | ||||||
18 | vouchers inside or immediately outside of that particular | ||||||
19 | store. | ||||||
20 | (d) Except as provided under subsection (f), a retailer is | ||||||
21 | exempt from the requirements of this Act for a store that the | ||||||
22 | retailer operates, is 1,000 square feet or fewer, and at which | ||||||
23 | less than one million beverage containers are sold per year. | ||||||
24 | (e) A retailer is exempt from the requirements of this | ||||||
25 | Section for a store that the retailer operates and that: | ||||||
26 | (1) primarily prepares food for sale; or |
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1 | (2) sells beverage containers to consumers primarily | ||||||
2 | through stand-alone vending machines or by similar means. | ||||||
3 | (f) Notwithstanding subsections (a) through (e), for zip | ||||||
4 | codes in the State with a population density greater than | ||||||
5 | 30,000 residents per square mile, the Organization must | ||||||
6 | install, service, and operate enough beverage container | ||||||
7 | processing mechanisms to ensure that there is one beverage | ||||||
8 | container processing mechanism per 500 people. | ||||||
9 | (g) Any facility that the Organization sets up in the | ||||||
10 | State to efficiently aggregate, sort, and process the material | ||||||
11 | collected at various redemption locations under this Act: | ||||||
12 | (1) shall accept, pursuant to a reasonable process the | ||||||
13 | Organization may establish, beverage containers eligible | ||||||
14 | for redemption that are submitted in the Organization's | ||||||
15 | standard redemption bag, as designated by the | ||||||
16 | Organization, by a nonprofit organization; and | ||||||
17 | (2) may provide a nonprofit organization with a | ||||||
18 | premium to be determined by the Organization. | ||||||
19 | (h) The public shall have access to redeem beverage | ||||||
20 | containers in accordance with this Section for not less than | ||||||
21 | 10 hours each day, except on federal, State, or local holidays | ||||||
22 | and except at a facility set up by the Organization to | ||||||
23 | aggregate, sort, and process redeemed beverage containers. | ||||||
24 | (i) The Organization must provide information to the | ||||||
25 | public detailing how consumers can alert the Organization to | ||||||
26 | problems at beverage container processing mechanisms operated |
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1 | by the Organization. The information shall be provided via: | ||||||
2 | (1) the Organization's website; | ||||||
3 | (2) clearly visible signage at least 5 feet by 5 feet | ||||||
4 | at each redemption location required under this Section; | ||||||
5 | and | ||||||
6 | (3) clearly visible signage at least 2 feet by 2 feet | ||||||
7 | placed on or within 5 feet of each beverage container | ||||||
8 | processing mechanism. | ||||||
9 | (j) The Organization may establish reasonable terms and | ||||||
10 | conditions for the use of a beverage container processing | ||||||
11 | mechanism. | ||||||
12 | Section 25. Labeling requirements. | ||||||
13 | (a) A beverage producer, distributor, or importer shall | ||||||
14 | include, anywhere that is clearly visible on the top or side of | ||||||
15 | each beverage container sold by the beverage producer, | ||||||
16 | distributor, or importer in the State, the abbreviation "RV". | ||||||
17 | (b) The Organization may require that any beverage | ||||||
18 | producer, distributor, or importer include, on any space that | ||||||
19 | is on the top or side of each beverage container sold in the | ||||||
20 | State, the clearly visible abbreviation of the State and | ||||||
21 | applicable redemption refund value under Section 10. | ||||||
22 | (c) A beverage producer, distributor, or importer may | ||||||
23 | include a barcode or unique code verification on a beverage | ||||||
24 | container to automatically identify it.
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1 | Section 30. Timing. | ||||||
2 | (a) A beverage container that is at least 90% aluminum, | ||||||
3 | glass, high density polyethylene plastic, or polyethylene | ||||||
4 | terephthalate and that is sold in the State must be redeemable | ||||||
5 | for the applicable redemption refund value under Section 10 by | ||||||
6 | no later than 2 years after the effective date of this Act. | ||||||
7 | (b) A beverage container not described under subsection | ||||||
8 | (a) and that is sold in the State must be redeemable for the | ||||||
9 | applicable redemption refund value under Section 10 by no | ||||||
10 | later than 3 years after the effective date of this Act. | ||||||
11 | (c) The Organization may permit up to an additional 365 | ||||||
12 | days to meet the deadlines under subsections (a) and (b).
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13 | Section 35. Prohibitions. | ||||||
14 | (a) No person shall distribute, import, or sell beverage | ||||||
15 | containers in or into the State except in compliance with this | ||||||
16 | Act. | ||||||
17 | (b) No person shall redeem a beverage container under this | ||||||
18 | Act that was not sold in the State to a consumer in the State.
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19 | Section 40. Agency duties. On or before October 1 of each | ||||||
20 | year after the effective date of this Act, the Agency shall | ||||||
21 | identify and communicate to the Organization the Agency's | ||||||
22 | total estimated annual cost to implement, administer, and | ||||||
23 | enforce this Act, including the cost of adopting rules under | ||||||
24 | this Act, in the next calendar year, after: |
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1 | (1) subtracting the moneys that the Agency collected | ||||||
2 | from penalties assessed under this Act, which shall be put | ||||||
3 | toward fulfilling the Agency's responsibilities under this | ||||||
4 | Act in the next calendar year; and | ||||||
5 | (2) adding any expenses incurred in fulfilling the | ||||||
6 | Agency's responsibilities under this Act that are not | ||||||
7 | covered by the annual cost from the previous year. | ||||||
8 | Section 45. Drop-off facility and material recovery | ||||||
9 | facility duties. | ||||||
10 | (a) Each drop-off facility or material recovery facility | ||||||
11 | operating in the State, or outside of the State if the majority | ||||||
12 | of the material it processes comes from the State, may submit | ||||||
13 | the following information to the Organization: | ||||||
14 | (1) the amount in tons of residential recyclable | ||||||
15 | material that the facility received for processing in the | ||||||
16 | previous calendar year; and | ||||||
17 | (2) an estimate of the amount in tons of residential | ||||||
18 | recyclable material that the facility received from the | ||||||
19 | State. | ||||||
20 | (b) The optional information detailed in subsection (a) | ||||||
21 | shall be submitted on or before April 1 and shall only pertain | ||||||
22 | to the previous full calendar year. | ||||||
23 | Section 50. Distributor and Importer Responsibility | ||||||
24 | Organization. |
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1 | (a) All distributors and importers shall join as members | ||||||
2 | of a Distributor and Importer Responsibility Organization. A | ||||||
3 | distributor or importer operating in violation of this | ||||||
4 | requirement is subject to penalties described in Section 75.
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5 | The Organization must be established and operated as a | ||||||
6 | nonprofit organization or a cooperative corporation. | ||||||
7 | (b) Only one Organization may operate in the State. The | ||||||
8 | Organization may decide to operate jointly with similar | ||||||
9 | organizations. The Organization shall elect a governing Board | ||||||
10 | of Directors of the Organization comprised of Organization | ||||||
11 | members. The Organization shall be led by an Executive | ||||||
12 | Director elected by the Board of Directors of the | ||||||
13 | Organization. | ||||||
14 | (c) The Organization shall charge a membership fee that | ||||||
15 | funds the Organization's costs of operation minus unclaimed | ||||||
16 | redemption refunds or any other revenue sources that the | ||||||
17 | Organization may develop.
The Organization shall charge | ||||||
18 | membership fees that vary by material type and that reflect: | ||||||
19 | (1) the cost of collecting, sorting, and processing | ||||||
20 | each beverage container type; and | ||||||
21 | (2) the number of units of each beverage container | ||||||
22 | type that each member distributes or sells in the State. | ||||||
23 | (d) The Organization shall refund members the moneys from | ||||||
24 | revenue generated from the sale of each beverage container | ||||||
25 | type's scrap based on the percentage of each beverage | ||||||
26 | container type that each member distributes or sells in the |
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1 | State. However, if such refunds are not feasible, the | ||||||
2 | Organization shall provide a credit to members against the | ||||||
3 | fees charged under this Act in an amount equal to that which | ||||||
4 | each member would have received as a refund. | ||||||
5 | (e) The Organization shall publish publicly on its | ||||||
6 | website: | ||||||
7 | (1) within 18 months after the effective date of this | ||||||
8 | Act, an initial plan for how the Organization will meet | ||||||
9 | its requirements under this Act over the next 5 years, | ||||||
10 | including the performance targets specified in Section 55; | ||||||
11 | and | ||||||
12 | (2) no later than every 5 years after publication of | ||||||
13 | the initial plan under paragraph (1), an updated plan on | ||||||
14 | how the Organization will continue to meet its | ||||||
15 | requirements under this Act, including the performance | ||||||
16 | targets specified in Section 55. | ||||||
17 | (f) The Organization shall pay: | ||||||
18 | (1) for any beverage container processing mechanism or | ||||||
19 | self-service kiosk that the Organization chooses to | ||||||
20 | install, maintain, and operate: | ||||||
21 | (A) with retailer permission granted pursuant to | ||||||
22 | Section 20; or | ||||||
23 | (B) at any location to meet or exceed: | ||||||
24 | (i) the performance targets under Section 55; | ||||||
25 | or | ||||||
26 | (ii) the beverage container processing |
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1 | mechanism requirement under subsection (f) of | ||||||
2 | Section 20; and | ||||||
3 | (2) for any facilities in the State necessary to | ||||||
4 | efficiently aggregate, sort, and process the beverage | ||||||
5 | containers collected at redemption locations under this | ||||||
6 | Act; | ||||||
7 | (3) to upkeep a list and map on its website of all | ||||||
8 | redemption locations and the redemption options available | ||||||
9 | at each redemption location; | ||||||
10 | (4) by December 31 of each year, an annual installment | ||||||
11 | to the Agency according to the formula under Section 40, | ||||||
12 | but not to exceed $500,000 per year; the installment shall | ||||||
13 | fund the Agency's anticipated costs in the following year | ||||||
14 | to implement, administer, and enforce this Act, including | ||||||
15 | adopting rules under this Act; | ||||||
16 | (5) a credit to consumers for the cost of the standard | ||||||
17 | bags described under subsection (f) of Section 10; and | ||||||
18 | (6) beginning during the first full year and ending | ||||||
19 | the fifth full year after one or more beverage container | ||||||
20 | types is sold with a redemption refund value under this | ||||||
21 | Act, direct annual payments by July 1 of each calendar | ||||||
22 | year to drop-off facility operators and material recovery | ||||||
23 | facility operators who choose to submit information under | ||||||
24 | Section 45; each payment shall: | ||||||
25 | (A) equal 10% of the scrap value from the beverage | ||||||
26 | container material the Organization sold in the |
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1 | preceding calendar year; and | ||||||
2 | (B) be based on the data submitted by drop-off | ||||||
3 | facility operators or material recovery facility | ||||||
4 | operators under Section 45. | ||||||
5 | (g) If the standard bag the Organization sells to | ||||||
6 | consumers under subsection (f) of Section 10 is made of | ||||||
7 | plastic film, the Organization shall: | ||||||
8 | (1) ensure that the standard bag sold is comprised of | ||||||
9 | a minimum of 50% recycled content; and | ||||||
10 | (2) demonstrate to the Agency that the plastic film | ||||||
11 | waste from the standard bags will be recycled in the best | ||||||
12 | commercially available manner. | ||||||
13 | (h) The Organization is not required to pay a redemption | ||||||
14 | refund under this Act for: | ||||||
15 | (1) any beverage container that visibly contains or is | ||||||
16 | visibly contaminated by a substance other than water, | ||||||
17 | residue of the beverage contained within the beverage | ||||||
18 | container as sold by a retailer to a consumer, or dust; | ||||||
19 | (2) any beverage container that is crushed, broken, or | ||||||
20 | damaged to the extent that the brand appearing on the | ||||||
21 | beverage container cannot be identified; | ||||||
22 | (3) any beverage container that the Organization has | ||||||
23 | reasonable grounds to believe was procured in another | ||||||
24 | state; or | ||||||
25 | (4) any beverage container for which the Organization | ||||||
26 | has reasonable grounds to believe a redemption refund has |
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1 | already been issued under this Act or under any other | ||||||
2 | state's law, rule, or regulation. | ||||||
3 | (i) The Organization may: | ||||||
4 | (1) use, or award grants using, moneys received or | ||||||
5 | generated under this Act for: | ||||||
6 | (A) litter clean-up; and | ||||||
7 | (B) education and outreach on recycling beverage | ||||||
8 | containers;
and | ||||||
9 | (2) use moneys received or generated under this Act to | ||||||
10 | directly, or in partnership with a nongovernmental | ||||||
11 | organization, provide services to or enhance the | ||||||
12 | redemption experience of minority or low-income consumers | ||||||
13 | who redeem a beverage container; | ||||||
14 | (3) to the extent allowed by law, distribute to its | ||||||
15 | members moneys received or generated under this Act during | ||||||
16 | a fiscal year if: | ||||||
17 | (A) the Organization's revenues under this Act | ||||||
18 | exceeded the costs of carrying out the Organization's | ||||||
19 | requirements under this Act by more than 10%; and | ||||||
20 | (B) after distributing the moneys to members, the | ||||||
21 | Organization's nondistributed revenues comprise at | ||||||
22 | least 110% of the costs of carrying out the | ||||||
23 | Organization's requirements under this Act; and | ||||||
24 | (4) use moneys generated under this Act to pay members | ||||||
25 | or support the management and activities of an advisory | ||||||
26 | committee established under Section 65. |
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1 | Section 55. Performance targets. | ||||||
2 | (a) The Organization shall meet the following performance | ||||||
3 | targets: | ||||||
4 | (1) Beginning during the second full calendar year | ||||||
5 | after all beverage containers are sold in the State with | ||||||
6 | the applicable redemption refund value under Section 10, | ||||||
7 | at least a 70% annual redemption rate for all beverage | ||||||
8 | containers. | ||||||
9 | (2) Beginning with the fourth full calendar year after | ||||||
10 | all beverage containers are sold in the State with the | ||||||
11 | applicable redemption refund value under Section 10, at | ||||||
12 | least a 75% annual redemption rate for all beverage | ||||||
13 | containers. | ||||||
14 | (3) Beginning during the sixth full calendar year | ||||||
15 | after all beverage containers are sold in the State with | ||||||
16 | the applicable redemption refund value under Section 10, | ||||||
17 | at least an 85% annual redemption rate for all beverage | ||||||
18 | containers. | ||||||
19 | (4) Beginning during the eighth full calendar year | ||||||
20 | after all beverage containers are sold in the State with | ||||||
21 | the applicable redemption refund value under Section 10, | ||||||
22 | at least an 90% annual redemption rate for all beverage | ||||||
23 | containers, including all beverage containers recycled | ||||||
24 | under a curbside recycling program in the State. | ||||||
25 | (b) If the Organization does not meet a performance target |
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1 | required under subsection (a), it must submit to the Agency a | ||||||
2 | product stewardship plan no more than 365 days after the data | ||||||
3 | required under subsection (e) of Section 50 has most recently | ||||||
4 | been published. The product stewardship plan shall detail the | ||||||
5 | reason that the performance target was not met and any action | ||||||
6 | the Organization will take to meet the performance target. | ||||||
7 | (c) The product stewardship plan described in subsection | ||||||
8 | (b) must be modified each year in which a performance target | ||||||
9 | required under subsection (a) is not met by the Organization. | ||||||
10 | If the Organization does not meet a performance target | ||||||
11 | required under subsection (a) during a period of 3 years after | ||||||
12 | a product stewardship plan was submitted to the Agency under | ||||||
13 | subsection (b), a new product stewardship plan must be | ||||||
14 | submitted by the Organization. | ||||||
15 | (d) If the Organization does not meet a performance target | ||||||
16 | under subsection (a) during a period of 3 years after a product | ||||||
17 | stewardship plan was submitted to the Agency under subsection | ||||||
18 | (b), the Agency may: | ||||||
19 | (1) assess a penalty against the Organization once per | ||||||
20 | calendar year of up to 10 cents for each beverage | ||||||
21 | container comprising the difference between the number of | ||||||
22 | beverage containers that were redeemed and the total | ||||||
23 | number of beverage containers that, if redeemed, would | ||||||
24 | have met the performance target; and | ||||||
25 | (2) require the Organization to submit a revised | ||||||
26 | product stewardship plan. |
| |||||||
| |||||||
1 | (e) If the Organization does not meet a performance target | ||||||
2 | required under subsection (a) during a period of 5 years after | ||||||
3 | a product stewardship plan was submitted to the Agency under | ||||||
4 | subsection (b), then: | ||||||
5 | (1) the Organization shall detail on the | ||||||
6 | Organization's website why a new Executive Director of the | ||||||
7 | Organization is not necessary if, at the end of the 5-year | ||||||
8 | period, the same person has acted as Executive Director of | ||||||
9 | the Organization for more than 365 days; and | ||||||
10 | (2) the Agency may assess a penalty against the | ||||||
11 | Organization once per calendar year of up to 15 cents for | ||||||
12 | each beverage container comprising the difference between | ||||||
13 | the number of beverage containers that were redeemed and | ||||||
14 | the total number of beverage containers that, if redeemed, | ||||||
15 | would have met the performance target. | ||||||
16 | (f) If a performance target required under subsection (a) | ||||||
17 | has not been met during each of the 7 consecutive calendar | ||||||
18 | years immediately after the calendar year of the submission of | ||||||
19 | the product stewardship plan described in subsection (b), then | ||||||
20 | the Agency may take over the Organization's operations and | ||||||
21 | charge its members in accordance with Section 50 until: | ||||||
22 | (1) the performance target is met, after which the | ||||||
23 | Organization's operations shall be taken over again by the | ||||||
24 | Organization within 180 days after the performance target | ||||||
25 | is met; or | ||||||
26 | (2) 5 years after the Agency has taken over, after |
| |||||||
| |||||||
1 | which, if the performance target is not met for at least 2 | ||||||
2 | consecutive years, the members of the Organization shall | ||||||
3 | choose a new Executive Director and the Organization's | ||||||
4 | operations shall be taken over again by the Organization. | ||||||
5 | If the Agency utilizes paragraph (2), then the | ||||||
6 | requirements of subsections (b), (c), and (d) shall not apply | ||||||
7 | to the Organization until 3 years after the new Executive | ||||||
8 | Director is chosen under paragraph (2). | ||||||
9 | Section 60. Reporting. | ||||||
10 | (a) On or before July 1 of each calendar year, beginning | ||||||
11 | July 1 of the first full calendar year after a beverage | ||||||
12 | container has a redemption refund value under this Act, the | ||||||
13 | Organization shall make publicly available on its website: | ||||||
14 | (1) the number of beverage containers sold in the | ||||||
15 | State by material type, as well as, for each quarter of the | ||||||
16 | year covered by the report and the quarters of each prior | ||||||
17 | year for at least the preceding 5 years, to the extent the | ||||||
18 | data is available under this Act, the proportion of | ||||||
19 | beverage containers sold in the State that are capable of | ||||||
20 | being recycled, refilled, or reused; | ||||||
21 | (2) for each quarter of the year covered by the report | ||||||
22 | and the quarters of each prior year for at least the | ||||||
23 | preceding 5 years, and to the extent data is available | ||||||
24 | under this Act, the percentage of the total amount of | ||||||
25 | beverage containers sold in the State that each beverage |
| |||||||
| |||||||
1 | container material type represents; | ||||||
2 | (3) the percentage of the total amount of fees charged | ||||||
3 | to members that each beverage container material type | ||||||
4 | represents for each quarter of the year covered by the | ||||||
5 | report and the quarters of each prior year for at least the | ||||||
6 | preceding 5 years, to the extent data is available; | ||||||
7 | (4) the number of beverage containers, by material | ||||||
8 | type, redeemed for each quarter of the year covered by the | ||||||
9 | report and the quarter of each prior year for at least the | ||||||
10 | preceding 5 years, to the extent data is available; | ||||||
11 | (5) the number of beverage containers redeemed at each | ||||||
12 | beverage container processing mechanism provided by the | ||||||
13 | Organization under this Act; | ||||||
14 | (6) the buyers to whom the Organization sold beverage | ||||||
15 | container materials and an indication of the beverage | ||||||
16 | container's material type; | ||||||
17 | (7) the percentage of the total amount of moneys | ||||||
18 | redeemed for each beverage container material type; | ||||||
19 | (8) each redemption location in the State; | ||||||
20 | (9) the means of redemption at each redemption | ||||||
21 | location in the State; | ||||||
22 | (10) the total expenses of the Organization; | ||||||
23 | (11) the total revenues of the Organization; | ||||||
24 | (12) the total reserves of the Organization; | ||||||
25 | (13) the cost to the Organization per beverage | ||||||
26 | container redeemed; |
| |||||||
| |||||||
1 | (14) the number of redemption locations that provide | ||||||
2 | services or an enhanced redemption experience for minority | ||||||
3 | or low-income consumers; | ||||||
4 | (15) aggregated demographic information, including, at | ||||||
5 | a minimum, the race, ethnicity, and gender identity of: | ||||||
6 | (A) employees working on-site at redemption | ||||||
7 | locations or at facilities the Organization | ||||||
8 | establishes to aggregate, sort, and process the | ||||||
9 | beverage containers collected at redemption locations; | ||||||
10 | and | ||||||
11 | (B) any Organization employees not described in | ||||||
12 | subparagraph (A); and | ||||||
13 | (16) the number of consumer complaints per month, by | ||||||
14 | redemption location, during the previous calendar year and | ||||||
15 | each prior year for at least the preceding 5 years, to the | ||||||
16 | extent data is available; | ||||||
17 | (17) the total number of individual consumers per | ||||||
18 | month who filed complaints, by redemption location, during | ||||||
19 | the previous calendar year and each prior year for at | ||||||
20 | least the preceding 5 years, to the extent data is | ||||||
21 | available; | ||||||
22 | (18) a list of all members, their brands of beverage | ||||||
23 | containers, and a breakdown of each member's beverage | ||||||
24 | container packaging mix by beverage container type during | ||||||
25 | the previous calendar year and each prior year for at | ||||||
26 | least the preceding 5 years, to the extent data is |
| |||||||
| |||||||
1 | available; | ||||||
2 | (19) the buyers of the plastic film waste, if any, | ||||||
3 | generated from the standard bag sold by the Organization | ||||||
4 | to consumers for redemption and how buyers may recycle the | ||||||
5 | plastic film waste; | ||||||
6 | (20) the number of individuals and entities registered | ||||||
7 | to receive electronic deposits of redemption refunds under | ||||||
8 | this Act; and | ||||||
9 | (21) the name of each member of the Organization's | ||||||
10 | Board of Directors. | ||||||
11 | (b) The Organization may rely on reporting by members for | ||||||
12 | information used to comply with the reporting requirements of | ||||||
13 | this Act, but shall note in its annual report which of the | ||||||
14 | metrics described in subsection (a) are based on member | ||||||
15 | reporting. | ||||||
16 | (c) Once per calendar year, the Agency may require | ||||||
17 | verification of information disclosed during that calendar | ||||||
18 | year by the Organization under this Act. The verification | ||||||
19 | shall: | ||||||
20 | (1) only occur after being notified by the | ||||||
21 | Organization on or before August 1 of that calendar year | ||||||
22 | that the Agency is requiring independent third-party | ||||||
23 | verification; | ||||||
24 | (2) be performed by an independent third party; | ||||||
25 | (3) be limited in scope to information that: | ||||||
26 | (A) the Organization is required to report under |
| |||||||
| |||||||
1 | this Act; | ||||||
2 | (B) the Agency specifies for third-party | ||||||
3 | verification under this subsection; and | ||||||
4 | (C) appeared, or should have appeared, in the | ||||||
5 | Organization's annual report for that calendar year; | ||||||
6 | and | ||||||
7 | (4) conducted on or before December 31 of the calendar | ||||||
8 | year in which it is required by the Agency. | ||||||
9 | The Organization must pay the full cost of the | ||||||
10 | third-party verification. | ||||||
11 | (d) The Organization must establish safeguards to ensure | ||||||
12 | members do not have access to information regarding: | ||||||
13 | (1) the price paid by any individual buyer for | ||||||
14 | beverage container material sold by the Organization under | ||||||
15 | this Act; and | ||||||
16 | (2) the amount of each beverage container material | ||||||
17 | sold by the Organization to each individual buyer. | ||||||
18 | (e) On or before the last day of February of each calendar | ||||||
19 | year, each member of the Organization must report to the | ||||||
20 | Organization all data necessary to satisfy the disclosure | ||||||
21 | requirements of this Section. The Organization shall ensure | ||||||
22 | that data provided by members under this subsection is | ||||||
23 | confidential. | ||||||
24 | Section 65. Operations Advisory Committee; Equity and | ||||||
25 | Access Advisory Committee. |
| |||||||
| |||||||
1 | (a) The Organization shall establish an Operations | ||||||
2 | Advisory Committee that represents a range of interested and | ||||||
3 | engaged persons and entities, including, at a minimum, one of | ||||||
4 | each of the following: | ||||||
5 | (1) a beverage container manufacturer or a beverage | ||||||
6 | container manufacturer's trade association; | ||||||
7 | (2) a beverage producer or a beverage producer's trade | ||||||
8 | association; | ||||||
9 | (3) a unit of local government or group of units of | ||||||
10 | local government; | ||||||
11 | (4) the State; | ||||||
12 | (5) an environmental nonprofit organization; | ||||||
13 | (6) an entity that buys beverage containers from, or | ||||||
14 | recycles them for, the Organization; and | ||||||
15 | (7) a retailer or a retailer's trade association. | ||||||
16 | (b) The Operations Advisory Committee may: | ||||||
17 | (1) provide written or oral comments directly to the | ||||||
18 | Board of Directors and the Executive Director no more than | ||||||
19 | 4 times a year; and | ||||||
20 | (2) every even-numbered calendar year, submit to the | ||||||
21 | Organization a written report that the Organization must | ||||||
22 | publish on its website upon request by the Operations | ||||||
23 | Advisory Committee and containing: | ||||||
24 | (A) the Operations Advisory Committee's feedback | ||||||
25 | on the operation of the Organization; and | ||||||
26 | (B) the Operations Advisory Committee's feedback |
| |||||||
| |||||||
1 | on the redemption refund system established under this | ||||||
2 | Act. | ||||||
3 | (c) The Organization shall establish an Equity and Access | ||||||
4 | Advisory Committee that represents persons who can help ensure | ||||||
5 | the Organization's operations appropriately consider the | ||||||
6 | diverse needs and cultures of people who redeem beverage | ||||||
7 | containers, including, at a minimum, one of each of the | ||||||
8 | following: | ||||||
9 | (1) an advocate for homeless persons; | ||||||
10 | (2) a governmental social services office; | ||||||
11 | (3) a nongovernmental organization that advocates on | ||||||
12 | behalf of one or more cultural groups; and | ||||||
13 | (4) a specialist in diversity and inclusion. | ||||||
14 | (d) The Equity and Access Advisory Committee may: | ||||||
15 | (1) provide written or oral comments directly to the | ||||||
16 | Board of Directors and the Executive Director no more than | ||||||
17 | 4 times a year; and | ||||||
18 | (2) every even-numbered calendar year, submit to the | ||||||
19 | Organization a written report that the Organization must | ||||||
20 | publish on its website upon request by the Equity and | ||||||
21 | Access Advisory Committee and containing: | ||||||
22 | (A) the Equity and Access Advisory Committee's | ||||||
23 | feedback on whether the Organization is appropriately | ||||||
24 | considering the diverse needs and cultures of people | ||||||
25 | who redeem beverage containers under this Act; and | ||||||
26 | (B) the Equity and Access Advisory Committee's |
| |||||||
| |||||||
1 | suggestions on how the Organization can improve in | ||||||
2 | terms of equity and access. | ||||||
3 | Section 70. Reimbursement to the Agency. The Organization | ||||||
4 | shall reimburse the Agency for costs incurred by the Agency | ||||||
5 | under this Act, not to exceed $500,000 per year, in accordance | ||||||
6 | with paragraph (4) of subsection (f) of Section 50. | ||||||
7 | Section 75. Enforcement. | ||||||
8 | (a) In addition to any other applicable civil penalties or | ||||||
9 | criminal fines, the Agency may impose a civil penalty for each | ||||||
10 | day that a violation of this Act occurs. The penalty shall be | ||||||
11 | $100 for the first violation of any requirement under this Act | ||||||
12 | and not more than $1,000 for each subsequent violation of that | ||||||
13 | requirement. | ||||||
14 | (b) A person who takes any of the following actions with | ||||||
15 | the intent to knowingly defraud is subject to subsection (c), | ||||||
16 | along with any other federal, State, or local enforcement | ||||||
17 | action arising from the action: | ||||||
18 | (1) redeeming out-of-state beverage containers, | ||||||
19 | rejected beverage containers, line breakages, or beverage | ||||||
20 | containers that have already been redeemed; | ||||||
21 | (2) seeking a redemption refund under this Act by | ||||||
22 | returning an already-redeemed beverage container at a | ||||||
23 | redemption location; | ||||||
24 | (3) bringing out-of-state beverage containers, |
| |||||||
| |||||||
1 | rejected beverage containers, or line breakages to the | ||||||
2 | State marketplace for redemption; or | ||||||
3 | (4) selling beverage containers not distributed or | ||||||
4 | imported into the State by a member of the Organization. | ||||||
5 | (c) A violation of subsection (b) resulting in financial | ||||||
6 | gain by the violator shall subject the violator to the | ||||||
7 | following: | ||||||
8 | (1) If the amount of moneys gained is equal to or less | ||||||
9 | than $950, the violator is subject to: | ||||||
10 | (A) imprisonment in a county jail for not more | ||||||
11 | than 6 months; | ||||||
12 | (B) a criminal fine not exceeding $1,000; or | ||||||
13 | (C) both the fine and imprisonment described in | ||||||
14 | subparagraphs (A) and (B). | ||||||
15 | (2) If the amount of moneys gained is more than $950, | ||||||
16 | the violator is subject to: | ||||||
17 | (A) imprisonment in a county jail for not more | ||||||
18 | than one year; | ||||||
19 | (B) a criminal fine not exceeding $10,000; or | ||||||
20 | (C) both the fine and imprisonment described in | ||||||
21 | subparagraphs (A) and (B). | ||||||
22 | (d) The Agency may bring a civil action to enjoin the | ||||||
23 | distribution, importation, or sale in the State of a beverage | ||||||
24 | container in violation of this Act. | ||||||
25 | (e) The Agency may assess a penalty of up to $30,000 in a | ||||||
26 | calendar year against the Organization for each redemption |
| |||||||
| |||||||
1 | location at which the Organization receives more than an | ||||||
2 | average of 100 individuals' complaints per month, according to | ||||||
3 | the public reporting required under Section 60. | ||||||
4 | (f) After notification from the Agency of noncompliance | ||||||
5 | with this Act and a 60-day cure period, the Agency may | ||||||
6 | administratively impose a civil penalty once per year to any | ||||||
7 | distributor or importer who fails to participate as an | ||||||
8 | Organization member as required under Section 10. The civil | ||||||
9 | penalty shall be the greater of $10,000 or 10 cents per | ||||||
10 | beverage container sold by the distributor or importer in the | ||||||
11 | State while not a member. Any distributor or importer who | ||||||
12 | incurs a penalty under this Section may appeal the penalty to | ||||||
13 | the Agency. | ||||||
14 | (g) All penalties the Agency recovers under this Act: | ||||||
15 | (1) up to the first $5,000,000 per calendar year shall | ||||||
16 | only be used to administer this Act; | ||||||
17 | (2) beyond the first $5,000,000 per calendar year | ||||||
18 | shall only be used to: | ||||||
19 | (A) conduct educational activities in the State | ||||||
20 | that are focused on the beverage container redemption | ||||||
21 | refund system established under this Act; | ||||||
22 | (B) perform litter clean-up in the State; or | ||||||
23 | (C) support the collection of recyclable material | ||||||
24 | in public spaces in the State; and | ||||||
25 | (3) shall be deposited in a separate, dedicated | ||||||
26 | account and shall not be spent until the following |
| |||||||
| |||||||
1 | calendar year.
| ||||||
2 | Section 80. Administration. The Agency shall administer | ||||||
3 | and enforce the provisions of this Act not otherwise allocated | ||||||
4 | to another person or entity under this Act.
|