[Congressional Bills 108th Congress]
[From the U.S. Government Publishing Office]
[S. 1867 Introduced in Senate (IS)]
108th CONGRESS
1st Session
S. 1867
To amend the Solid Waste Disposal Act to encourage greater recycling of
certain beverage containers through the use of deposit refund
incentives.
_______________________________________________________________________
IN THE SENATE OF THE UNITED STATES
November 14 (legislative day, November 12), 2003
Mr. Jeffords (for himself, Mr. Leahy, Mr. Kerry, Mr. Lieberman, and Mr.
Akaka) introduced the following bill; which was read twice and referred
to the Committee on Environment and Public Works
_______________________________________________________________________
A BILL
To amend the Solid Waste Disposal Act to encourage greater recycling of
certain beverage containers through the use of deposit refund
incentives.
Be it enacted by the Senate and House of Representatives of the
United States of America in Congress assembled,
SECTION 1. SHORT TITLE.
This Act may be cited as the ``National Beverage Producer
Responsibility Act of 2003''.
SEC. 2. FINDINGS.
Congress finds that--
(1) the beverage industry has an established and effective
marketing infrastructure that provides a wide range of beverage
products at affordable prices to consumers in the United
States;
(2) the absence of a beverage industry infrastructure for
recovering used beverage containers has--
(A) placed undue burdens on local waste authorities
and, in turn, taxpayers;
(B) failed to provide any incentive for the
beverage industry to reduce waste by taking
responsibility for collecting, recycling, and reusing
beverage containers; and
(C) resulted in tens of billions of unrecycled
beverage containers per year, including 120,000,000,000
unrecycled beverage containers in 2001;
(3) 11 States have enacted laws designed to protect the
environment, conserve energy and material resources, and reduce
waste by requiring--
(A) beverage consumers to pay a deposit on the
purchase of beverage containers; and
(B) the beverage industry to pay a refund on used
beverage containers that are returned for reuse and
recycling;
(4) those laws, based on deposit systems originally devised
by the beverage industry to recover used bottles, have been
shown to be the most effective and sustainable means for
achieving high rates of beverage container reuse and recycling,
especially the increasing proportion of beverages consumed away
from the home;
(5) increasing exiting rates of reuse and recycling of
beverage containers to 80 percent would--
(A) save the equivalent of approximately
300,000,000 barrels of oil in the next decade, in
addition to the quantity of oil that is already being
saved through existing recycling efforts;
(B) reduce greenhouse gas emissions by more than
4,000,000 tons annually, in addition to the 4,000,000
tons of emissions already being avoided through current
recycling efforts;
(C) save an additional energy equivalent of
25,000,000 barrels of crude oil each year, which is
enough to meet the total residential energy needs of
1,500,000 households in the United States for a year;
and
(D) dramatically reduce, by as much as 84 percent,
road side litter of beverage containers in States that
do not have in effect a law regulating the recycling of
beverage containers;
(6) a beverage container reuse and recycling system
designed by brand owners could--
(A) be seamlessly integrated with the national and
regional marketing systems of the brand owners;
(B) maximize recycling efficiency; and
(C) minimize costs of compliance with a patchwork
of State recycling programs; and
(7) a national system of beverage container reuse and
recycling is consistent with the intent of the Solid Waste
Disposal Act (42 U.S.C. 6901 et seq.) and the goals established
by the Administrator of the Environmental Protection Agency,
including the national goal of 35 percent source reduction and
recycling by 2005.
SEC. 3. BEVERAGE CONTAINER REUSE AND RECYCLING.
(a) In General.--The Solid Waste Disposal Act (42 U.S.C. 6901 et
seq.) is amended by adding at the end the following:
``Subtitle K--Beverage Container Reuse and Recycling
``SEC. 12001. DEFINITIONS.
``In this subtitle:
``(1) Beverage.--
``(A) In general.--The term `beverage' means a
nonalcoholic or alcoholic carbonated or noncarbonated
liquid that is intended for human consumption.
``(B) Exclusions.--The term `beverage' does not
include milk or any other dairy or dairy-derived
product.
``(2) Beverage container.--The term `beverage container'
means a container that--
``(A) is constructed primarily of metal, glass,
plastic, or paper (or a combination of those
materials);
``(B) has a capacity of not more than 1 gallon of
liquid; and
``(C) on or after the date of enactment of this
subtitle--
``(i) may contain or contains a beverage;
and
``(ii) is offered for sale or sold in
interstate commerce.
``(3) Brand owner.--The term `brand owner' means a person
that manufactures or imports for resale in interstate commerce
a beverage sold in a beverage container.
``(4) Management plan.--The term `management plan' means a
management plan submitted under section 12004.
``(5) Redemption rate.--The term `redemption rate' means
the percentage obtained by dividing--
``(A) the number of beverage containers of a brand
owner returned for a refund under section 12005(b)(2)
in a calendar year; by
``(B) the number of beverage containers of the
brand owner for which a deposit was collected under
section 12005(a)(1) in the calendar year.
``(6) Refund value.--The term `refund value' means the
refund value of a beverage container determined in accordance
with section 12006.
``(7) Return site.--The term `return site' means an
operation, facility, or retail store, or an association of
operations, facilities, or retail stores, that--
``(A) is identified in an approved management plan;
and
``(B) is operating under contract entered into by
the return site and a brand owner to collect and redeem
empty beverage containers.
``(8) Seller.--
``(A) In general.--The term `seller' means a person
that sells a beverage in a beverage container.
``(B) Inclusions.--The term `seller' includes all
members of the supply chain.
``(9) Unbroken beverage container.--The term `unbroken
beverage container' includes a beverage container that has been
opened in a manner in which the beverage container was designed
to be opened.
``SEC. 12002. RESPONSIBILITIES OF BRAND OWNERS.
``(a) In General.--Each brand owner shall implement an effective
redemption, transportation, processing, marketing, and reporting system
for the reuse and recycling of used beverage containers of the brand
owner.
``(b) Prohibition of Post-Redemption Landfilling or Incineration.--
No brand owner or beverage container agency shall dispose of any
beverage container labeled in accordance with section 12003 in any
landfill or other solid waste disposal facility.
``SEC. 12003. BEVERAGE CONTAINER LABELING.
``(a) In General.--No brand owner may sell or offer for sale in
interstate commerce a beverage in a beverage container unless a
statement of the refund value of the beverage container is clearly,
prominently, and securely affixed to, printed on, or embossed on the
beverage container.
``(b) Size and Location of Refund Value Statement.--The
Administrator shall promulgate regulations establishing uniform
standards for the size and appropriate location on beverage containers
of the refund value statement required under subsection (a).
``SEC. 12004. MANAGEMENT PLANS.
``(a) Submission of Plans.--Not later than 180 days after the date
of enactment of this subtitle, each brand owner shall submit to the
Administrator--
``(1) a management plan, in such form as the Administrator
may prescribe, for the collection, transport, reuse, and
recycling of beverage containers that the brand owner sells
into interstate commerce; and
``(2) a fee, in such amount as the Administrator may
establish by regulation, to cover administrative costs relating
to administration of the management plan.
``(b) Contents of Plan.--A management plan submitted under this
section shall--
``(1) include--
``(A) the name, and address for service of process,
of the brand owner submitting the management plan;
``(B) the name and title of a contact person at the
brand owner;
``(C) the name and corporate address of each brand
owner covered by the management plan; and
``(D) the brand name of each beverage covered by
the management plan;
``(2) provide--
``(A) a proposed implementation date for the
management plan; and
``(B) appropriate documentation of such agreements
entered into by the beverage container agency and
return site operators as will take effect as of the
date of implementation of the management plan; and
``(3) include a description of--
``(A) the ways in which the beverage container
agency intends to make the use of return sites
convenient for consumers of beverages covered by the
management plan in all areas of interstate commerce;
``(B) the ways in which the beverage container
agency intends to achieve, not later than 2 years after
the date of implementation of the management plan, a
recovery rate of at least 80 percent; and
``(C) the ways in which the beverage container
agency will manage beverage containers returned under
the management plan in an environmentally responsible
manner.
``(c) Changes in Information.--Each beverage container agency that
submits a management plan under this section shall promptly notify the
Administrator, in writing, of any change in the information provided
under subsection (b)(1).
``(d) Approval of Management Plans.--
``(1) In general.--The Administrator shall approve or
disapprove each management plan submitted under this section.
``(2) Determination.--In determining whether to approve or
disapprove a management plan, the Administrator may return the
management plan to the beverage container agency--
``(A) with a request for additional information; or
``(B) for amendment.
``(3) Disapproval.--If the Administrator disapproves a
management plan, the Administrator shall, not later than 60
days after the date of disapproval, provide to the beverage
container agency that submitted the management plan a written
explanation of the reasons for disapproval.
``(e) Implementation of Management Plans.--
``(1) In general.--A brand owner that, on or before the
date of enactment of this subtitle, is selling in interstate
commerce a beverage in a beverage container, shall--
``(A) upon submission of the management plan,
implement the management plan in accordance with the
implementation date proposed by the brand owner under
subsection (b)(2)(A).
``(B) upon approval of the management plan by the
Administrator, implement the management plan as
approved under subsection (d).
``(2) New brand owners.--A brand owner that proposes, after
the date of enactment of this subtitle, to sell in interstate
commerce a beverage in a beverage container shall--
``(A) have, as of the date on which the brand owner
commences the selling of the beverage, a management
plan that has been approved by the Administrator; and
``(B) implement the management plan in accordance
with the implementation date proposed in the management
plan under subsection (b)(2)(A).
``(3) Prohibition.--No brand owner shall sell in interstate
commerce any beverage in a beverage container--
``(A) except as in accordance with paragraph (1) or
(2), as appropriate; or
``(B) on or after the implementation date proposed
in a management plan of the brand owner under
subsection (b)(2)(A), if the Administrator has not
approved the management plan.
``(f) Report.--
``(1) In general.--Each beverage container agency the
management plan of which is approved and implemented under this
section shall, not later than March 31 of each year after the
implementation date of the management plan, submit to the
Administrator a report that describes the effectiveness of the
management plan during the preceding calendar year.
``(2) Information.--The report shall include--
``(A) for each type of beverage container returned,
the recovery rate--
``(i) expressed as a percentage; and
``(ii) audited by an entity independent of
the brand owner; and
``(B) annual financial statements, prepared by an
entity independent of the beverage container agency, of
all deposits received and refunds paid by each brand
owner subject to the management plan.
``(3) Public availability.--The Administrator shall make
available to the public the information described in paragraph
(2).
``SEC. 12005. DEPOSIT AND REFUND.
``(a) Deposit.--
``(1) In general.--On and after the implementation date of
any approved management plan to which a seller is subject, the
seller shall collect from each purchaser of a beverage in a
beverage container, at the time of sale, a deposit in an amount
that is not more than the refund value of the beverage
container.
``(2) Documentation.--A deposit collected under paragraph
(1) shall be indicated on the receipt of the purchaser, if a
receipt is given for the purchase.
``(3) Exception.--This subsection shall not apply to a case
in which a beverage in a beverage container is sold for
consumption, and is consumed, on the premises of the seller.
``(b) Refund.--On and after the implementation date of an approved
management plan, a beverage container return site covered by the
management plan shall--
``(1) accept unbroken beverage containers for return; and
``(2) pay to a person returning beverage containers an
amount, in cash or in the form of a voucher redeemable for cash
on demand, that is equal to the total of the refund values
affixed to, printed on, or embossed on, each container returned
by the person.
``(c) Acceptable Beverage Containers.--A return site shall not be
required to accept or pay a refund for a beverage container under this
section if, as determined by the return site, the beverage container--
``(1) is contaminated or, for hygienic reasons, is
unsuitable for recycling;
``(2) can be reasonably identified as a container that was
purchased outside the United States; or
``(3) cannot be reasonably identified as a container to
which this subtitle applies.
``SEC. 12006. REFUND VALUE.
``(a) In General.--The refund value of a beverage container shall
be the greater of--
``(1) 10 cents; or
``(2) an adjusted value determined under subsection (b).
``(b) Adjustment.--The Administrator shall--
``(1) adjust the amount of the refund value of a beverage
container under subsection (a) on the date that is 10 years
after the date of enactment of this subtitle, and every 10
years thereafter, to reflect changes during those 10-year
periods in the Consumer Price Index for all urban consumers
published by the Department of Labor; and
``(2) round any adjustment under paragraph (1) to the
nearest 5-cent increment.
``SEC. 12007. REDEMPTION RATES.
``(a) In General.--Except as provided in subsections (b) and (c),
in a case in which a brand owner complies with each provision of this
subtitle, but fails to achieve a redemption rate of at least 80 percent
for beverage containers of the brand owner during a calendar year, the
Administrator may require that the brand owner pay to each State an
amount equal to the difference between--
``(1) the amount of deposits collected on beverage
containers of the brand owner that were sold in the State; and
``(2) the amount of refunds paid on those beverage
containers.
``(b) Reuse Rate Adjustment.--The minimum recovery rate required to
be achieved by a brand owner under subsection (a) shall be reduced by 1
percentage point for each percentage point increase in the use by the
brand owner of refillable beverage containers.
``SEC. 12008. OTHER MANAGEMENT REQUIREMENTS.
``(a) Disputes.--If a dispute arises under this subtitle between,
and cannot be resolved by, a brand owner and a return site, the
beverage container agency or the return site shall refer the matter to
binding arbitration.
``(b) Confidentiality.--
``(1) In general.--Except as provided in paragraph (2),
each person acting under the authority of this subtitle shall
keep confidential all facts, information, and records obtained
or provided under this subtitle.
``(2) Exception.--Paragraph (1) shall not apply in a case
in which public duty requires, or any regulation promulgated by
the Administrator under this subtitle permits, the disclosure
of any facts, information, or records described in that
paragraph.
``SEC. 12009. REPORT BY ADMINISTRATOR.
``Not later than October 31, 2005, and annually thereafter, the
Administrator shall submit to Congress a report that describes--
``(1) the recovery rate for beverage containers during the
year covered by the report; and
``(2) the extent to which beverage container collection is
proceeding in accordance with this subtitle.
``SEC. 12010. RETENTION OF STATE AUTHORITY.
``Nothing in this subtitle prohibits any State or political
subdivision from imposing any requirement that is not inconsistent with
this subtitle.
``SEC. 12011. PENALTIES.
``Notwithstanding any other provision of this Act--
``(1) a person that violates any provision of this subtitle
(other than section 12004(f)) shall be subject to a civil
penalty of not more than $1,000 for each violation; and
``(2) a person that violates section 12004(f) shall be
subject to a civil penalty of not more than $10,000 for each
violation.''.
(b) Conforming Amendment.--The table of contents for the Solid
Waste Disposal Act (42 U.S.C. prec. 6901) is amended by adding at the
end the following:
``Subtitle K--Beverage Container Reuse and Recycling
``Sec. 12001. Definitions.
``Sec. 12002. Responsibilities of brand owners.
``Sec. 12003. Beverage container labeling.
``Sec. 12004. Management plans.
``Sec. 12005. Deposit and refund.
``Sec. 12006. Refund value.
``Sec. 12007. Redemption rates.
``Sec. 12008. Other management requirements.
``Sec. 12009. Report by Administrator.
``Sec. 12010. Retention of State authority.
``Sec. 12011. Penalties.''.
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