CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 2381Introduced by Assembly Member ChoiFebruary 18, 2020 An act to add Section 14575.5 to the Public Resources Code, relating to beverage containers, and making an appropriation therefor. LEGISLATIVE COUNSEL'S DIGESTAB 2381, as introduced, Choi. The California Beverage Container Recycling and Litter Reduction Act.Existing law, the California Beverage Container Recycling and Litter Reduction Act, requires every beverage container sold or offered for sale in this state to have a minimum refund value. Under the act, the department is required to calculate a processing fee for each beverage container with a specified scrap value, which is required to be paid by beverage manufacturers for each beverage container sold or transferred to a distributor or dealer. The department is required to calculate the processing fee in a specified manner, so that the actual processing fee generally equals 65% of the processing payment that the department is required to pay to processors if the scrap value of the container having a refund value pursuant to the act is less than the cost of recycling. Under the act, the processing payment is required to be at least equal to the difference between the scrap value offered to a statistically significant sample of recyclers by willing purchasers and the sum of the actual cost of recycling containers by certified recycling centers and a reasonable financial return. Department regulations for calendar year 2019 specify a reasonable financial return of 11.5% times that cost, except for rural recycling centers, for which the regulations specify a reasonable financial return of 16.6% times that cost, as specified. The department is required to establish a processing fee account in the continuously appropriated California Beverage Container Recycling Fund for each material type and to pay processing payments from the fund.This bill would make the reasonable financial return for recycling centers, until January 1, 2022, an unspecified percentage of the cost of recycling by certified recycling centers, except for rural recycling centers, for which the reasonable rate of return would also be an unspecified percentage of that cost, as provided. The bill would make an appropriation by changing the terms and conditions under which the department is authorized to make payments from a continuously appropriated fund. Digest Key Vote: 2/3 Appropriation: YES Fiscal Committee: YES Local Program: NO Bill TextThe people of the State of California do enact as follows:SECTION 1. Section 14575.5 is added to the Public Resources Code, to read:14575.5. (a) Notwithstanding Section 2975 of Title 14 of the California Code of Regulations, for the period of January 1, 2021, to December 31, 2021, inclusive, the reasonable financial return for recycling centers shall be calculated as follows:(1) The reasonable financial return shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations, except as specified in paragraph (2).(2) The reasonable financial return for recycling centers located in rural regions, as defined by subparagraph (A) of paragraph (2) of subdivision (b) of Section 14571, shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations.
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION Assembly Bill No. 2381Introduced by Assembly Member ChoiFebruary 18, 2020 An act to add Section 14575.5 to the Public Resources Code, relating to beverage containers, and making an appropriation therefor. LEGISLATIVE COUNSEL'S DIGESTAB 2381, as introduced, Choi. The California Beverage Container Recycling and Litter Reduction Act.Existing law, the California Beverage Container Recycling and Litter Reduction Act, requires every beverage container sold or offered for sale in this state to have a minimum refund value. Under the act, the department is required to calculate a processing fee for each beverage container with a specified scrap value, which is required to be paid by beverage manufacturers for each beverage container sold or transferred to a distributor or dealer. The department is required to calculate the processing fee in a specified manner, so that the actual processing fee generally equals 65% of the processing payment that the department is required to pay to processors if the scrap value of the container having a refund value pursuant to the act is less than the cost of recycling. Under the act, the processing payment is required to be at least equal to the difference between the scrap value offered to a statistically significant sample of recyclers by willing purchasers and the sum of the actual cost of recycling containers by certified recycling centers and a reasonable financial return. Department regulations for calendar year 2019 specify a reasonable financial return of 11.5% times that cost, except for rural recycling centers, for which the regulations specify a reasonable financial return of 16.6% times that cost, as specified. The department is required to establish a processing fee account in the continuously appropriated California Beverage Container Recycling Fund for each material type and to pay processing payments from the fund.This bill would make the reasonable financial return for recycling centers, until January 1, 2022, an unspecified percentage of the cost of recycling by certified recycling centers, except for rural recycling centers, for which the reasonable rate of return would also be an unspecified percentage of that cost, as provided. The bill would make an appropriation by changing the terms and conditions under which the department is authorized to make payments from a continuously appropriated fund. Digest Key Vote: 2/3 Appropriation: YES Fiscal Committee: YES Local Program: NO
CALIFORNIA LEGISLATURE 20192020 REGULAR SESSION
Assembly Bill
No. 2381
Introduced by Assembly Member ChoiFebruary 18, 2020
Introduced by Assembly Member Choi
February 18, 2020
An act to add Section 14575.5 to the Public Resources Code, relating to beverage containers, and making an appropriation therefor.
LEGISLATIVE COUNSEL'S DIGEST
## LEGISLATIVE COUNSEL'S DIGEST
AB 2381, as introduced, Choi. The California Beverage Container Recycling and Litter Reduction Act.
Existing law, the California Beverage Container Recycling and Litter Reduction Act, requires every beverage container sold or offered for sale in this state to have a minimum refund value. Under the act, the department is required to calculate a processing fee for each beverage container with a specified scrap value, which is required to be paid by beverage manufacturers for each beverage container sold or transferred to a distributor or dealer. The department is required to calculate the processing fee in a specified manner, so that the actual processing fee generally equals 65% of the processing payment that the department is required to pay to processors if the scrap value of the container having a refund value pursuant to the act is less than the cost of recycling. Under the act, the processing payment is required to be at least equal to the difference between the scrap value offered to a statistically significant sample of recyclers by willing purchasers and the sum of the actual cost of recycling containers by certified recycling centers and a reasonable financial return. Department regulations for calendar year 2019 specify a reasonable financial return of 11.5% times that cost, except for rural recycling centers, for which the regulations specify a reasonable financial return of 16.6% times that cost, as specified. The department is required to establish a processing fee account in the continuously appropriated California Beverage Container Recycling Fund for each material type and to pay processing payments from the fund.This bill would make the reasonable financial return for recycling centers, until January 1, 2022, an unspecified percentage of the cost of recycling by certified recycling centers, except for rural recycling centers, for which the reasonable rate of return would also be an unspecified percentage of that cost, as provided. The bill would make an appropriation by changing the terms and conditions under which the department is authorized to make payments from a continuously appropriated fund.
Existing law, the California Beverage Container Recycling and Litter Reduction Act, requires every beverage container sold or offered for sale in this state to have a minimum refund value. Under the act, the department is required to calculate a processing fee for each beverage container with a specified scrap value, which is required to be paid by beverage manufacturers for each beverage container sold or transferred to a distributor or dealer. The department is required to calculate the processing fee in a specified manner, so that the actual processing fee generally equals 65% of the processing payment that the department is required to pay to processors if the scrap value of the container having a refund value pursuant to the act is less than the cost of recycling. Under the act, the processing payment is required to be at least equal to the difference between the scrap value offered to a statistically significant sample of recyclers by willing purchasers and the sum of the actual cost of recycling containers by certified recycling centers and a reasonable financial return. Department regulations for calendar year 2019 specify a reasonable financial return of 11.5% times that cost, except for rural recycling centers, for which the regulations specify a reasonable financial return of 16.6% times that cost, as specified. The department is required to establish a processing fee account in the continuously appropriated California Beverage Container Recycling Fund for each material type and to pay processing payments from the fund.
This bill would make the reasonable financial return for recycling centers, until January 1, 2022, an unspecified percentage of the cost of recycling by certified recycling centers, except for rural recycling centers, for which the reasonable rate of return would also be an unspecified percentage of that cost, as provided. The bill would make an appropriation by changing the terms and conditions under which the department is authorized to make payments from a continuously appropriated fund.
## Digest Key
## Bill Text
The people of the State of California do enact as follows:SECTION 1. Section 14575.5 is added to the Public Resources Code, to read:14575.5. (a) Notwithstanding Section 2975 of Title 14 of the California Code of Regulations, for the period of January 1, 2021, to December 31, 2021, inclusive, the reasonable financial return for recycling centers shall be calculated as follows:(1) The reasonable financial return shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations, except as specified in paragraph (2).(2) The reasonable financial return for recycling centers located in rural regions, as defined by subparagraph (A) of paragraph (2) of subdivision (b) of Section 14571, shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations.
The people of the State of California do enact as follows:
## The people of the State of California do enact as follows:
SECTION 1. Section 14575.5 is added to the Public Resources Code, to read:14575.5. (a) Notwithstanding Section 2975 of Title 14 of the California Code of Regulations, for the period of January 1, 2021, to December 31, 2021, inclusive, the reasonable financial return for recycling centers shall be calculated as follows:(1) The reasonable financial return shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations, except as specified in paragraph (2).(2) The reasonable financial return for recycling centers located in rural regions, as defined by subparagraph (A) of paragraph (2) of subdivision (b) of Section 14571, shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations.
SECTION 1. Section 14575.5 is added to the Public Resources Code, to read:
### SECTION 1.
14575.5. (a) Notwithstanding Section 2975 of Title 14 of the California Code of Regulations, for the period of January 1, 2021, to December 31, 2021, inclusive, the reasonable financial return for recycling centers shall be calculated as follows:(1) The reasonable financial return shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations, except as specified in paragraph (2).(2) The reasonable financial return for recycling centers located in rural regions, as defined by subparagraph (A) of paragraph (2) of subdivision (b) of Section 14571, shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations.
14575.5. (a) Notwithstanding Section 2975 of Title 14 of the California Code of Regulations, for the period of January 1, 2021, to December 31, 2021, inclusive, the reasonable financial return for recycling centers shall be calculated as follows:(1) The reasonable financial return shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations, except as specified in paragraph (2).(2) The reasonable financial return for recycling centers located in rural regions, as defined by subparagraph (A) of paragraph (2) of subdivision (b) of Section 14571, shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations.
14575.5. (a) Notwithstanding Section 2975 of Title 14 of the California Code of Regulations, for the period of January 1, 2021, to December 31, 2021, inclusive, the reasonable financial return for recycling centers shall be calculated as follows:(1) The reasonable financial return shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations, except as specified in paragraph (2).(2) The reasonable financial return for recycling centers located in rural regions, as defined by subparagraph (A) of paragraph (2) of subdivision (b) of Section 14571, shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations.
14575.5. (a) Notwithstanding Section 2975 of Title 14 of the California Code of Regulations, for the period of January 1, 2021, to December 31, 2021, inclusive, the reasonable financial return for recycling centers shall be calculated as follows:
(1) The reasonable financial return shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations, except as specified in paragraph (2).
(2) The reasonable financial return for recycling centers located in rural regions, as defined by subparagraph (A) of paragraph (2) of subdivision (b) of Section 14571, shall be equal to ____ percent of the statewide average allowable costs calculated pursuant to Section 2960 of Title 14 of the California Code of Regulations.