EXPLANATION: CAPITALS INDICATE MAT TER ADDED TO EXISTIN G LAW. [Brackets] indicate matter deleted from existing law. Underlining indicates amendments to bill. Strike out indicates matter stricken from the bill by amendment or deleted from the law by amendment. Italics indicate opposite chamber/conference committee amendments. *sb0222* SENATE BILL 222 M3 (3lr0665) ENROLLED BILL — Education, Energy, and the Environment/Environment and Transportation and Economic Matters — Introduced by Senators Augustine, Hester, Elfreth, and Hettleman Hettleman, Brooks, Kagan, Lewis Young, and Watson Read and Examined by Proofreaders: _______________________________________________ Proofreader. _______________________________________________ Proofreader. Sealed with the Great Seal and presented to the Governor, for his approval this _______ day of _______________ at ________________________ o’clock, ________M. ______________________________________________ President. CHAPTER ______ AN ACT concerning 1 Environment – Reducing Packaging Materials – Statewide Recycling Needs 2 Assessment and Producer Responsibility for Packaging Materials 3 FOR the purpose of requiring certain producers of packaging materials to individually or 4 as part of a producer responsibility organization submit a certain packaging 5 materials producer responsibility plan to the Department of the Environment for 6 review and approval on or before a certain date and in accordance with certain 7 requirements; prohibiting, on or after a certain date, a producer of certain packaging 8 materials from selling, offering for sale, distributing, or importing certain packaging 9 materials unless the producer, individually or as part of a producer responsibility 10 organization, has an approved producer responsibility plan on file with the 11 Department; requiring a producer responsibility organization to pay certain costs to 12 the Department; requiring a producer responsibility organization to implement a 13 2 SENATE BILL 222 producer responsibility plan within a certain amount of time after the Department 1 approves the producer responsibility plan; establishing a producer responsibility 2 plan advisory council; authorizing a local government to request reimbursement 3 from a certain producer that has an approved producer responsibility plan on file 4 with the Department for certain costs in a certain manner; altering the definition of 5 “organics recycling” to include the processing of certain compostable packaging 6 materials in a certain manner; requiring the Department of the Environment to 7 approve a certain producer responsibility organization for certain purposes on or 8 before a certain date; establishing a producer responsibility advisory council to 9 provide advice and make recommendations regarding establishing and implementing 10 a producer responsibility program in the State for packaging materials and to report 11 to certain committees of the General Assembly on or before a certain date; requiring 12 the Office of Recycling in the Department to hire an independent contractor to 13 conduct certain statewide recycling needs assessments in a certain manner and to 14 submit certain reports on the results of the assessments to the Governor and the 15 General Assembly on or before certain dates a certain statewide recycling needs 16 assessment in a certain manner and to submit a certain report to the Governor and 17 the General Assembly on or before a certain date; and generally relating to a statewide 18 recycling needs assessment and producer responsibility for packaging materials. 19 BY repealing and reenacting, without amendments, 20 Article – Environment 21 Section 9–1701(a) and (o) 22 Annotated Code of Maryland 23 (2014 Replacement Volume and 2022 Supplement) 24 BY repealing and reenacting, with amendments, 25 Article – Environment 26 Section 9–1702 9–1701(n), 9–1702, and 9–1707(f) 27 Annotated Code of Maryland 28 (2014 Replacement Volume and 2022 Supplement) 29 BY adding to 30 Article – Environment 31 Section 9–1702.2; and 9–2501 through 9–2510 9–2503 to be under the new subtitle 32 “Subtitle 25. Producer Responsibility for Packaging Materials” 33 Annotated Code of Maryland 34 (2014 Replacement Volume and 2022 Supplement) 35 SECTION 1. BE IT ENACTED BY THE GENERAL ASSEMBLY OF MARYLAND, 36 That the Laws of Maryland read as follows: 37 Article – Environment 38 9–1701. 39 (a) In this subtitle the following words have the meanings indicated. 40 SENATE BILL 222 3 (n) (1) “Organics recycling” means any process in which organic materials OR 1 COMPOSTABLE PACKAGIN G MATERIALS are collected, separated, or processed and 2 returned to the marketplace in the form of raw materials or products. 3 (2) “Organics recycling” includes anaerobic digestion and composting. 4 (o) “Organics recycling facility” means a facility where organics recycling takes 5 place. 6 9–1702. 7 (a) There is an Office of Recycling created within the Department. 8 (b) The Secretary shall appoint a Director and sufficient staff to perform the 9 functions of the Office. After July 1, 1989, the number of staff shall be as provided in the 10 budget. 11 (c) The Secretary may adopt regulations to carry out the provisions of this 12 subtitle. 13 (d) The Office shall: 14 (1) Assist the counties in developing an acceptable recycling plan required 15 under § 9–1703 of this subtitle and § 9–505 of this title, including technical assistance to 16 the local governments; 17 (2) Coordinate the efforts of the State to facilitate the implementation of 18 the recycling goals at the county level; 19 (3) Review all recycling plans submitted as part of a county plan as 20 required under § 9–505 of this title and advise the Secretary on the adequacy of the 21 recycling plan; 22 (4) Administer the Statewide Electronics Recycling Program under Part IV 23 of this subtitle; [and] 24 (5) Promote the development of markets for recycled materials and 25 recycled products in the State in accordance with § 9–1702.1 of this subtitle; 26 (6) CONDUCT PROCURE A STATEWIDE RECYCLIN G NEEDS 27 ASSESSMENT IN ACCORD ANCE WITH § 9–1702.2 OF THIS SUBTITLE; AND 28 (7) REVIEW AND APPROVE , IN CONSULTATION WITH THE PRODUCER 29 RESPONSIBILITY PLAN ADVISORY COUNCIL EST ABLISHED UNDER § 9–2505 OF THIS 30 4 SENATE BILL 222 TITLE, PRODUCER RESPONSIBIL ITY PLANS AND ANNUAL REPORTS SUBMITTED IN 1 ACCORDANCE WITH SUBTITLE 25 OF THIS TITLE. 2 (e) Beginning on January 1, 1990, and biannually thereafter, the Office shall, in 3 coordination with the Maryland Environmental Service, study and report to the Governor 4 and, subject to § 2–1257 of the State Government Article, the General Assembly on: 5 (1) The identification and location of recycling centers, including an 6 analysis of existing recycling centers and the need to expand these facilities or construct 7 new recycling centers; 8 (2) Programs necessary to educate the public on the need to participate in 9 recycling efforts; 10 (3) The economics and financing of existing and proposed systems of waste 11 disposal and recycling; 12 (4) State procurement policies for the purchase of recycled materials; 13 (5) Programs necessary to reduce the amount of solid waste generated for 14 disposal by a State agency or unit; 15 (6) The liaison role with local governments, the federal government, and 16 the private sector; 17 (7) The percentage reduction in the amount of solid waste that has been 18 achieved by each county; and 19 (8) Economically feasible methods for the recycling of scrap automobile 20 tires, batteries, and white goods. 21 (f) (1) By December 1, 1988, the Office shall, in coordination with the 22 Maryland Environmental Service and the Governor’s Task Force on Solid Waste, make 23 recommendations to the General Assembly for the financing of a comprehensive system of 24 recycling at the State and local level, including funding for recycling centers, recycling 25 equipment, recycling education, and marketing strategies. 26 (2) After the financing recommendations are made under paragraph (1) of 27 this subsection, each county may submit to the Office and the Governor a detailed request 28 for funds necessary to assist in the development and implementation of a recycling plan 29 under guidelines developed by the Office. 30 (g) In studying feasible methods for the management and recycling of used tires 31 under subsection (e)(9) of this section, the Office of Recycling shall consult with the 32 appropriate industry, including representatives of: 33 (1) Tire manufacturers; 34 SENATE BILL 222 5 (2) Tire dealers; and 1 (3) Tire recyclers. 2 9–1702.2. 3 (A) IN THIS SECTION , “ADVISORY COUNCIL ” AND “PRODUCER 4 RESPONSIBILITY ORGAN IZATION” HAVE THE MEANINGS ST ATED IN § 9–2501 OF THIS 5 TITLE. 6 (B) IN ACCORDANCE WITH SU BSECTION (D) OF THIS SECTION AND TO CARRY 7 OUT THE REQUIREMENTS OF § 9–1702(D)(6) OF THIS SUBTITLE, THE OFFICE SHALL 8 HIRE AN INDEPENDENT CONSULTANT TO CONDUCT A STATEWIDE RECYCLING NEEDS 9 ASSESSMENT AT LEAST ONCE EVERY 10 YEARS OR AS RECOMMEN DED BY THE 10 ADVISORY COUNCIL THA T INCLUDES: 11 (1) AN ANALYSIS OF T HE STATE’S CURRENT SOLID WAST E STREAMS, 12 INCLUDING: 13 (I) SOLID WASTE GENERATED IN THE STATE BY LOCAL 14 JURISDICTION, TYPE, AND MATERIAL ; 15 (II) DISPOSAL METHODS BY M ATERIAL TYPE AND AMO UNT; AND 16 (III) ASSOCIATED COSTS AND REVENUES FOR SOLID W ASTE 17 DISPOSAL PROGRAMS ; 18 (2) AN ANALYSIS OF THE STATE’S CURRENT RECYCLING STREAMS, 19 INCLUDING: 20 (I) RECYCLABLE MATERIALS PROCESSED BY LOCAL 21 JURISDICTION, TYPE, AND AMOUNT ; 22 (II) PROCESSING METHODS BY MATERIAL TYPE AND AM OUNT; 23 (III) ASSOCIATED COSTS AND REVENUES FOR REC YCLING 24 PROGRAMS, COLLECTION, AND TIPPING FEES ; AND 25 (IV) AN ESTIMATE OF THE AM OUNT OF RECYCLABLE M ATERIALS 26 THAT ARE NOT CURRENT LY BEING RECYCLED ; 27 (1) (3) AN EVALUATION OF THE CURRENT INFRASTRUCTU RE AND 28 CAPACITY RELATED TO , NEED FOR, AND ASSOCIATED COSTS OF: 29 6 SENATE BILL 222 (I) RECYCLING ACCESS AND AVAILABILITY; 1 (II) COLLECTING AND HAULIN G RECYCLABLE OR 2 COMPOSTABLE MATERIAL S IN THE STATE; 3 (III) PROCESSING RECYCLABLE OR COMPOSTABLE MATER IALS 4 IN THE STATE; 5 (IV) TAKING ADVANTAGE OF FAVORABLE MARKET CON DITIONS 6 OR OTHER OPPORTUNITI ES FOR INCREASING RE CYCLING OR ORGANICS RECYCLING 7 IN THE STATE; 8 (V) IN COORDINATION WITH LOCAL GOVERNMENTS , CONSUMER 9 EDUCATION REGARDING RECYCLING, ORGANICS RECYCLING , AND CONTAMINATION 10 REDUCTION; 11 (VI) REUSE INFRASTRUCTURE ; AND 12 (VII) ORGANICS RECYCLING IN FRASTRUCTURE ; 13 (2) (4) AN EVALUATION OF COMM INGLED RECYCLING PRO CESSING 14 FACILITY WORKER COND ITIONS, WAGES, AND BENEFITS; 15 (3) (5) AN EVALUATION OF OPPO RTUNITIES IN THE REC YCLING 16 SYSTEM FOR WOMEN AND MINORITY INDIVIDUALS ; 17 (4) (6) AN EVALUATION OF LOCA L GOVERNMENT REQUIRE MENTS 18 RELATED TO MULTIFAMI LY AND COMMERCIAL RECYCLING SERVICES A ND THEIR 19 IMPLEMENTATION ; 20 (5) (7) THE SUFFICIENCY OF RE CYCLING EDUCATION PR OGRAMS 21 RELATIVE TO DESIRED EQUITY OUTCOMES ; 22 (6) AN EVALUATION OF OPPO RTUNITIES IN THE REC YCLING SYSTEM 23 FOR BUSINESSES IN TH E STATE; AND 24 (8) AN EVALUATION OF THE ECONOMIC OPPORTUNITI ES IN THE 25 STATE’S RECYCLING SYSTEM , INCLUDING: 26 (I) STATE AND LOCAL REVENUE THAT MAY BE CONSIDERED 27 LOST BECAUSE RECYCLA BLE MATERIALS ARE NO T BEING RECYCLED ; 28 SENATE BILL 222 7 (II) CURRENT JOBS ASSOCIAT ED WITH THE SOLID WA STE AND 1 RECYCLING INDUSTRIES ; 2 (III) OPPORTUNITIES TO INCR EASE EMPLOYMENT IN T HE 3 RECYCLING INDUSTRY B Y MATERIAL TY PE; 4 (IV) BUSINESS OPPORTUNITIE S ASSOCIATED WITH RE CYCLING; 5 (V) BARRIERS TO INCREASIN G THE USE OF RECYCLA BLE 6 MATERIALS AS FEEDSTO CK FOR PRINCIPAL PRO CESSORS AND MANUFACT URERS 7 AND MEANS OF ELIMINA TING THOSE BARRIERS ; AND 8 (VI) RECOMMENDATIONS FOR INCENTIVES TO STIMUL ATE JOB 9 GROWTH AND BUSINESS OPPORTUNITIES IN THE STATE’S RECYCLING INDUSTRY ; 10 (7) (9) RECOMMENDATIONS FOR I MPROVING EQUITY AND 11 EQUITABLE OUTCOMES F OR UNDERSERVED POPUL ATIONS IN THE STATE’S 12 RECYCLING SYSTEM , INCLUDING RECOMMENDA TIONS FOR NEW RESPONSIBILI TIES 13 OF PRODUCER RESPONSI BILITY ORGANIZATIONS AND RECOMMENDATIONS FOR 14 FUNDING THE NEW RESP ONSIBILITIES. RESPONSIBILITIES ; 15 (10) AN ANALYSIS OF THE CO STS AND BENEFITS OF IMPLEMENTING AN 16 EXTENDED PRODUCER RE SPONSIBILITY PROGRAM , INCLUDING TO: 17 (I) LOCAL GOVERNMENTS ; 18 (II) WASTE PRODUCERS ; 19 (III) RESIDENTS; AND 20 (IV) WASTE MANAGEMENT COMP ANIES; 21 (11) AN ANALYSIS OF THE PO TENTIAL ENVIRONMENTA L IMPACT OF AN 22 EXTENDED PRODUCER RE SPONSIBILITY PROGRAM , INCLUDING THROUGH : 23 (I) INCREASED RECYCLING ; 24 (II) RESOURCE RECOVERY ; 25 (III) WASTE REDUCTION ; AND 26 (IV) REDUCED ENVIRONMENTAL DAMAGE; 27 8 SENATE BILL 222 (12) RECOMMENDATIONS ON TH E BEST PRACTICES TO FOLLOW FROM 1 SUCCESSFUL EXTENDED PRODUCER RESPONSIBIL ITY PROGRAMS IN OTHE R STATES 2 AND COUNTRIES; AND 3 (13) BASED ON THE DATA COL LECTED UNDER ITEM (3) OF THIS 4 SUBSECTION, A RECOMMENDATION ON A REASONABLE ANNUAL RATE PER TON OF 5 RECYCLED OR COMPOSTE D PACKAGING MATERIAL S, TO BE INCLUDED IN TH E 6 PRODUCER RESPONSIBIL ITY PLANS REQUIRED U NDER § 9–2504 OF THIS TITLE, FOR 7 REIMBURSING LOCAL GO VERNMENTS FOR COSTS ASSOCIATED WITH : 8 (I) COLLECTING PACKAGING MATERIALS THAT ARE 9 IDENTIFIED IN PLANS ; 10 (II) TRANSPORTING RECYCLAB LE OR COMPOSTABLE 11 PACKAGING MATERIALS IDENTIFIED IN THE PL ANS; AND 12 (III) PROCESSING RECYCLABLE OR COMPOSTABLE PACKA GING 13 MATERIALS IDENTIFIED IN THE PLANS, INCLUDING REMOVING C ONTAMINATION . 14 (C) ON OR BEFORE APRIL 1, 2025, AND EACH APRIL 1 EVERY 10 YEARS 15 THEREAFTER OR AS REC OMMENDED BY THE ADVI SORY COUNCIL , THE OFFICE 16 SHALL REPORT ON THE RESULT S OF THE MOST RECENT ASSESSMENT CONDUCTED 17 UNDER THIS SECTION T O THE GOVERNOR AND , IN ACCORDANCE WITH § 2–1257 OF 18 THE STATE GOVERNMENT ARTICLE, THE GENERAL ASSEMBLY. 19 (D) IN CONDUCTING THE ASS ESSMENT REQUIRED UND ER THIS SECTION , 20 THE OFFICE INDEPENDENT CONSULTA NT SHALL CONSULT WITH P RODUCER 21 RESPONSIBILITY ORGAN IZATIONS, THE PRODUCER RESPONS IBILITY PLAN 22 ADVISORY COUNCIL EST ABLISHED UNDER § 9–2505 OF THIS TITLE, APPROPRIATE 23 LOCAL GOVERNMENTAL E NTITIES, AND REGIONAL SOLID W ASTE ORGANIZATIONS IN 24 THE STATE. 25 (E) (1) THE SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , THE 26 OFFICE SHALL ESTABLIS H AND COLLECT A FEE TO BE PAID BY PRODUC ER 27 RESPONSIBILITY ORGAN IZATIONS TO COVER TH E COSTS ASSOCIATED W ITH 28 CONDUCTING THE ASSES SMENTS REQUIRED UNDE R THIS SECTION. 29 (2) BEFORE ESTABLISHING A ND COLLECTING A FEE UNDER 30 PARAGRAPH (1) OF THIS SUBSECTION , THE OFFICE SHALL: 31 (I) PUBLISH A PROPOSED FE E ON ITS WEBSITE; AND 32 (II) ALLOW 90 CALENDAR DAYS FOR PU BLIC COMMENT . 33 SENATE BILL 222 9 9–1707. 1 (f) (1) There is a State Recycling Trust Fund. 2 (2) The Fund shall consist of: 3 (i) The newsprint recycling incentive fee; 4 (ii) The telephone directory recycling incentive fee collected under § 5 9–1709 of this subtitle; 6 (iii) The covered electronic device manufacturer registration fee 7 collected under § 9–1728 of this subtitle; 8 (IV) ANY FEES COLLECTED FR OM PRODUCER RESPONSI BILITY 9 ORGANIZATIONS UNDER § 9–1702.2 OF THIS SUBTITLE OR SUBTITLE 25 OF THIS 10 TITLE; 11 [(iv)] (V) All fines and penalties collected under this subtitle AND § 12 9–2510 OF THIS TITLE; 13 [(v)] (VI) Money appropriated in the State budget to the Fund; and 14 [(vi)] (VII) Any other money from any other source accepted for the 15 benefit of the Fund. 16 (3) The Secretary shall administer the Fund. 17 (4) The Treasurer shall hold the Fund separately and the Comptroller shall 18 account for the Fund. 19 (5) At the end of each fiscal year, any unspent or unencumbered balance in 20 the Fund that exceeds $2,000,000 shall revert to the General Fund of the State in 21 accordance with § 7–302 of the State Finance and Procurement Article. 22 (6) In accordance with the State budget, the Fund shall be used only: 23 (i) To provide grants to the counties to be used by the counties to 24 develop and implement local recycling plans; 25 (ii) To provide grants to counties that have addressed methods for 26 the separate collection and recycling of covered electronic devices in accordance with § 27 9–1703(c)(1) of this subtitle; 28 (iii) To provide grants to municipalities to be used by the 29 municipalities to implement local covered electronic device recycling programs; [and] 30 10 SENATE BILL 222 (IV) IN ACCORDANCE WITH PA RAGRAPH (7) OF THIS 1 SUBSECTION, TO COVER THE COSTS O F THE STATEWIDE RECY CLING NEEDS 2 ASSESSMENT CONDUCTED UNDER § 9–1702.2 OF THIS SUBTITLE; 3 (V) IN ACCORDANCE WITH PA RAGRAPH (7) OF THIS 4 SUBSECTION, TO COVER THE COSTS O F PRODUCER RESPONSIB ILITY PLAN REVIEW , 5 OVERSIGHT, AND ENFORCEMENT UNDE R SUBTITLE 25 OF THIS TITLE; AND 6 [(iv)] (VI) To carry out the purposes of the land management 7 administration. 8 (7) (I) THERE SHALL BE A SEPA RATE ACCOUNT WITHIN THE FUND. 9 (II) THE SEPARATE ACCOUNT SHALL CONSIST OF : 10 1. ANY FEES COLLECTED FR OM PRODUCER 11 RESPONSIBILITY ORGAN IZATIONS UNDER § 9–1702.2 OF THIS SUBTITLE OR 12 SUBTITLE 25 OF THIS TITLE; AND 13 2. ALL FINES AND PENALTI ES COLLECTED UNDER § 14 9–2510 OF THIS TITLE. 15 (III) THE SEPARATE ACCOUNT SHALL BE USED ONLY F OR THE 16 COSTS OF THE STATEWI DE RECYCLING NEEDS A SSESSMENT CONDUCTED UNDER § 17 9–1702.2 OF THIS SUBTITLE AND PRODUCER RESPONSIBIL ITY PLAN REVIEW , 18 OVERSIGHT, AND ENFORCEMENT UNDE R SUBTITLE 25 OF THIS TITLE. 19 [(7)] (8) (i) The Treasurer shall invest the money in the Fund in the 20 same manner as other State money may be invested. 21 (ii) Any investment earnings of the Fund shall be credited to the 22 General Fund of the State. 23 SUBTITLE 25. PRODUCER RESPONSIBILITY FOR PACKAGING MATERIALS. 24 9–2501. 25 (A) IN THIS SUBTITLE THE FOLLOWING WORDS HAVE THE MEANINGS 26 INDICATED. 27 (B) “ADVISORY COUNCIL ” MEANS THE PRODUCER R ESPONSIBILITY PLAN 28 ADVISORY COUNCIL EST ABLISHED UNDER § 9–2505 9–2503 OF THIS SUBTITLE. 29 SENATE BILL 222 11 (C) “BEVERAGE CONTAINER ” MEANS A PREPACKAGED BEVERAGE 1 CONTAINER: 2 (1) MADE OF ANY MATERIAL , INCLUDING GLASS , PLASTIC, METAL, 3 CARTON, POUCH, OR ASEPTIC PACKAGING , SUCH AS A DRINK BOX , OR OF 4 MULTIMATERIALS ; AND 5 (2) THE VOLUME OF WHICH I S NOT MORE THAN 5 LITERS. 6 (D) (C) “LOCAL GOVERNMENT ” MEANS: 7 (1) A COUNTY; OR 8 (2) A MUNICIPALITY. 9 (D) “MATERIALS RECYCLING F ACILITY” MEANS A FACILITY THA T RECEIVES 10 RECYCLABLE MATERIALS FOR MECHANICAL OR MA NUAL SORTING INTO 11 SPECIFICATION–GRADE COMMODITIES FO R SALE TO A BROKER O R END MARKET . 12 (E) (D) “ORGANICS RECYCLING ” AND “ORGANICS RECYCLING F ACILITY” 13 HAVE THE MEANINGS HAS THE MEANING STATED IN § 9–1701 OF THIS TITLE. 14 (F) “PACKAGING MATERIAL WA STE” MEANS THE PERCENTAGE OF THE 15 TOTAL WEIGHT OF PACK AGING MATERIALS SOLD OR DISTRIBUTED IN TH E STATE 16 THAT ARE NOT RECYCLE D, REUSED, OR COMPOSTED . 17 (E) (G) (E) (1) “PACKAGING MATERIALS ” MEANS, REGARDLESS OF 18 RECYCLABILITY , ANY PART OF A PACKAG E OR CONTAINER , INCLUDING MATERIAL 19 THAT IS USED FOR THE CONTAINMENT , PROTECTION , HANDLING, DELIVERY, AND 20 PRESENTATION OF A PR ODUCT THAT IS SOLD , OFFERED FOR SALE , IMPORTED, OR 21 DISTRIBUTED IN THE STATE. 22 (2) “PACKAGING MATERIALS ” INCLUDES: 23 (I) PRIMARY, SECONDARY , AND TERTIARY PACKAGI NG 24 INTENDED FOR THE CON SUMER MARKET ; 25 (II) SERVICE PACKAGING DES IGNED AND INTENDED T O BE 26 FILLED AT THE POINT OF SALE, INCLUDING: 27 1. CARRY–OUT BAGS; 28 2. BULK GOODS BAGS ; AND 29 12 SENATE BILL 222 3. TAKE–OUT AND HOME DELIVER Y FOOD SERVICE 1 PACKAGING; AND 2 (III) BEVERAGE CONTAINERS . 3 (3) “PACKAGING MATERIALS ” DOES NOT INCLUDE ANY INCLUDE: 4 (I) ANY PART OF A PACKAGE OR CONTAINER THAT IS SO LD OR 5 SUPPLIED IN CONNECTI ON WITH: 6 (I) 1. A PESTICIDE PRODUCT RE GULATED BY THE FEDERAL 7 INSECTICIDE, FUNGICIDE, AND RODENTICIDE ACT UNDER 7 U.S.C. § 136 ET SEQ. 8 OR ANY OTHER APPLICA BLE FEDERAL LAW , RULE, OR REGULATION ; 9 (II) 2. A FEDERALLY REGULATED DRUG, MEDICAL DEVICE , 10 BIOLOGIC, OR DIAGNOSTIC, OR DIETARY SUPPLEMEN T INCLUDING ITEMS INTE NDED 11 FOR ANIMALS; OR 12 (III) 3. A MEDICAL PRODUCT THAT IS REQUIRED TO BE 13 STERILE OR ENCLOSED IN PACKAGING WITH TA MPER–RESISTANT SEALS TO 14 PROTECT PUBLIC HEALTH , INCLUDING MEDICAL PR ODUCTS INTENDED FOR 15 ANIMALS; OR 16 (II) LIQUEFIED PETROLEUM G AS CONTAINERS THAT A RE 17 DESIGNED TO BE REFIL LED. 18 (F) (H) (F) (1) “PRODUCER” MEANS A PERSON THAT IS RESPONSIBLE FOR 19 COMPLYING WITH THIS SUBTITLE UNDER § 9–2503 OF THIS SUBTITLE: 20 (I) WITH RESPECT TO PACKA GING MATERIALS USED TO 21 DIRECTLY PROTECT OR CONTAIN A PRODUCT SO LD, OFFERED FOR SALE , OR 22 DISTRIBUTED IN THE STATE: 23 1. A. HAS LEGAL OWNERSHIP O F THE BRAND OF THE 24 PRODUCT UNDER WHICH THE PRODUCT IS SOLD; OR 25 B. IS THE MANUFACTURER O F THE PRODUCT , IF THE 26 PRODUCT IS SOLD IN P ACKAGING MATERIALS T HAT LACK IDENTIFICAT ION OF THE 27 BRAND; 28 2. IS THE LICENSEE OF TH E BRAND OR TRADEMARK 29 UNDER WHICH THE PROD UCT IS SOLD, WHETHER OR NOT THE T RADEMARK IS 30 REGISTERED IN THE STATE, IF THE PRODUCT IS MA NUFACTURED BY A PERS ON 31 OTHER THAN THE BRAND OWNERS; OR 32 SENATE BILL 222 13 3. IS THE PERSON THAT IM PORTS THE PRODUCT IN TO 1 THE UNITED STATES FOR USE IN A C OMMERCIAL ENTERPRISE THAT SELLS, OFFERS 2 FOR SALE, OR DISTRIBUTES THE I TEM IN THE STATE, IF THERE IS NO PERSO N 3 DESCRIBED IN SUBSUBP ARAGRAPHS 1 AND 2 OF THIS SUBPARAGRAPH ; AND 4 (II) WITH RESPECT TO PACKA GING MATERIALS USED TO SHIP A 5 PRODUCT TO A CONSUME R IN THE STATE, IS THE PERSON THAT P ACKAGES AND 6 SHIPS THE PRODUCT . 7 (2) “PRODUCER” DOES NOT INCLUDE : 8 (I) A LOCAL GOVERNMENT ; 9 (II) A NONPROFIT CHARITABLE ORGANIZATION ; OR 10 (III) AN ENTITY THAT MANUFA CTURES A DRUG OR DEV ICE 11 AUTHORIZED FOR SALE BY THE U.S. FOOD AND DRUG ADMINISTRATION UNDER THE 12 FEDERAL FOOD, DRUG, AND COSMETIC ACT; 13 (IV) AN ENTITY THAT GENERA TED LESS THAN $5,000,000 IN 14 GROSS REVENUE DURING THE IMMEDIATELY PREC EDING CALENDAR YEAR ; 15 (V) AN ENTITY THAT SOLD , OFFERED FOR SALE , OR 16 DISTRIBUTED FOR SALE IN THE STATE DURING THE IMME DIATELY PRECEDING 17 CALENDAR YEAR LESS T HAN 1 METRIC TON OF PACKAG ING MATERIALS; 18 (VI) 1. AN ENTITY THAT OWNS O R OPERATES A RESTAUR ANT, 19 FOOD CART, OR SIMILAR ESTAB LISHMENT THAT : 20 A. IS HEADQUARTERED IN T HE STATE; AND 21 B. PRIMARILY SELLS TO ME MBERS OF THE PUBLIC FOOD 22 THAT IS GENERALLY IN TENDED TO BE CONSUME D IMMEDIATELY AND WI THOUT THE 23 NEED FOR FURTHER PRE PARATION, EITHER ON OR OFF THE PREMISES; AND 24 2. IS NOT A PRODUCER OF FOOD SERVICEWARE ; 25 (VII) AN ENTITY THAT OWNS O R OPERATES A SINGLE RETAIL 26 SALES ESTABLISHMENT THAT: 27 1. HAS NO ONLINE SALES ; AND 28 14 SENATE BILL 222 2. IS NOT SUPPLIED OR OP ERATED AS PART OF A 1 FRANCHISE OR A CHAIN ; OR 2 (VIII) 1. AN ENTITY THAT IS LICENSED UNDER TITLE 2 OF THE 3 ALCOHOLIC BEVERAGES ARTICLE; AND 4 2. GENERATED LESS THAN $10,000,000 IN GROSS 5 REVENUE DURING THE I MMEDIATELY PRECEDING CALENDAR YEAR ; OR 6 (IX) AN ENTITY THAT HAS EX ECUTED AN AGREEMENT WITH 7 ANOTHER ENTITY , UNDER WHICH THE OTHER ENTI TY HAS AGREED TO ASS UME 8 RESPONSIBILITY UNDER A PRODUCER RESPONSIB ILITY PROGRAM FOR AN Y 9 PACKAGING MATERIALS ATTRIBUTABLE TO THE FIRST ENTITY. 10 (G) (I) “PRODUCER RESPONSIBILI TY ORGANIZATION ” MEANS: 11 (1) A PRODUCER THAT INDIVI DUALLY SUBMITS A PRODUCER 12 RESPONSIBILITY PLAN TO THE DEPARTMENT UNDER § 9–2504 OF THIS SUBTITLE ; 13 OR 14 (2) (G) A “PRODUCER RESPONSIBILI TY ORGANIZATION ” MEANS A 15 NONPROFIT ORGANIZATI ON THAT IS: 16 (I) (1) EXEMPT FROM TAXATION UNDER § 501(C)(3) OF THE 17 INTERNAL REVENUE CODE; AND 18 (II) (2) CREATED BY A GROUP OF PRODUCERS TO 19 IMPLEMENT A PRODUCER RESPONSIBIL ITY PLAN IN ACCORDAN CE WITH § 9–2504(A) 20 OF THIS SUBTITLE REPRESENT THE INTERE STS OF PRODUCERS UND ER THIS 21 SUBTITLE. 22 (H) (J) “PRODUCER RESPONSIBILI TY PLAN” MEANS A PACKAGING 23 MATERIALS PRODUCER R ESPONSIBILITY PLAN S UBMITTED TO THE DEPARTMENT 24 BY A PRODUCER OR PRO DUCER RESPONSIBILITY ORGANIZATION IN ACCO RDANCE 25 WITH § 9–2504 OF THIS SUBTITLE. 26 9–2502. 27 IT IS THE INTENT OF THE GENERAL ASSEMBLY THAT THIS SU BTITLE PROVIDE 28 A FRAMEWORK FOR : 29 (1) MODERNIZING AND IMPRO VING WASTE AND RECYC LING SYSTEMS 30 IN THE STATE, INCLUDING BY FACILIT ATING: 31 SENATE BILL 222 15 (I) THE IMPROVEMENT OF RE USE, ORGANICS RECYCLING , AND 1 RECYCLING; 2 (II) THE IMPROVEMENT OF RE CYCLING MARKETS ; 3 (III) THE REDUCTION OF WAST E; AND 4 (IV) AN INCREASE IN RECYCL ING RATES; AND 5 (2) REIMBURSING LOCAL GOV ERNMENTS FOR COSTS A SSOCIATED 6 WITH TRANSPORTING , COLLECTING, AND PROCESSING PACKA GING MATERIALS . 7 9–2503. 8 (A) (1) (I) THIS PARAGRAPH APPLIE S TO ITEMS SOLD IN PACKAGING 9 MATERIALS AT A PHYSI CAL RETAIL LOCATION IN THE STATE. 10 (II) IF THE ITEM IS SOLD U NDER THE MANUFACTURE R’S OWN 11 BRAND OR IS SOLD IN PACKAGING MATERIALS THAT LACK IDENTIFICA TION OF A 12 BRAND, THE PRODUCER OF THE PACKAGING MATERIALS IS THE PERSON THAT 13 MANUFACTURES THE ITE M. 14 (III) IF THE ITEM IS MANUFA CTURED BY A PERSON O THER THAN 15 THE BRAND OWNER , THE PRODUCER OF THE PACKAGING MATERIALS IS THE PERSON 16 THAT IS THE LICENSEE OF A BRAND OR TRADEM ARK UNDER WHICH AN I TEM IS SOLD, 17 OFFERED FOR SA LE, OR DISTRIBUTED IN TH E STATE, WHETHER OR NOT THE 18 TRADEMARK IS REGISTE RED IN THE STATE. 19 (IV) IF THERE IS NO PERSON DESCRIBED IN SUBPARA GRAPHS 20 (II) OR (III) OF THIS PARAGRAPH LO CATED WITHIN THE UNITED STATES, THE 21 PRODUCER OF THE PACK AGING MATERIALS I S THE PERSON THAT IM PORTS THE 22 ITEM INTO THE UNITED STATES FOR USE IN A C OMMERCIAL ENTERPRISE THAT 23 SELLS, OFFERS FOR SALE , OR DISTRIBUTES THE I TEM IN THE STATE. 24 (2) (I) THIS PARAGRAPH APPLIE S TO ITEMS SOLD OR 25 DISTRIBUTED IN PACKA GING MATERIALS IN TH E STATE THROUGH REMOTE SALE OR 26 DISTRIBUTION. 27 (II) THE PRODUCER OF THE P ACKAGING MATERIALS U SED TO 28 DIRECTLY PROTECT OR CONTAIN THE ITEM IS THE SAME AS THE PROD UCER 29 ESTABLISHED UNDER PA RAGRAPH (1) OF THIS SUBSECTION . 30 16 SENATE BILL 222 (III) THE PRODUCER OF THE PACKAGING MATERIALS USED TO 1 SHIP THE ITEM TO A C ONSUMER IS THE PERSO N THAT PACKAGES AND SHIPS THE 2 ITEM TO THE CONSUMER . 3 (IV) FOR ANY PACKAGING MAT ERIALS NOT IDENTIFIE D UNDER 4 SUBPARAGRAPHS (II) AND (III) OF THIS PARAGRAPH , THE PRODUCER OF THE 5 PACKAGING MATERIALS IS THE PER SON THAT FIRST DISTR IBUTES THE PACKAGED 6 ITEM IN THE STATE. 7 (B) THIS SUBTITLE DOES NO T APPLY TO A PERSON THAT: 8 (1) (I) GENERATED LESS THAN $5,000,000 IN GROSS REVENUE 9 DURING THE IMMEDIATE LY PRECEDING CALENDA R YEAR; 10 (II) SOLD, OFFERED FOR SALE , OR DISTRIBUTED FOR S ALE IN 11 THE STATE DURING THE IMME DIATELY PRECEDING CA LENDAR YEAR LESS THA N 1 12 METRIC TON OF PACKAG ING MATERIALS ; 13 (III) 1. OWNS OR OPERATES A RE STAURANT, FOOD CART, OR 14 SIMILAR ESTABLISHMEN T THAT: 15 A. IS HEADQUARTERED IN THE STATE; AND 16 B. PRIMARILY SELLS TO ME MBERS OF THE PUBLIC FOOD 17 THAT IS GENERALLY IN TENDED TO BE CONSUME D IMMEDIATELY AND WI THOUT THE 18 NEED FOR FURTHER PRE PARATION, EITHER ON OR OFF THE PREMISES; AND 19 2. IS NOT A PRODUCER OF FOOD SERVICEWARE ; 20 (IV) OWNS OR OPERATES A SI NGLE RETAIL SALES 21 ESTABLISHMENT THAT : 22 1. HAS NO ONLINE SALES ; AND 23 2. IS NOT SUPPLIED OR OP ERATED AS PART OF A 24 FRANCHISE OR A CHAIN ; OR 25 (V) 1. IS LICENSED UNDER TITLE 2 OF THE ALCOHOLIC 26 BEVERAGES ARTICLE; AND 27 2. GENERATED LESS THAN $10,000,000 IN GROSS 28 REVENUE DURING THE I MMEDIATELY PRECEDING CALENDAR YEAR ; AND 29 SENATE BILL 222 17 (2) ON REQUEST BY THE DEPARTMENT , PROVIDES TO THE 1 DEPARTMENT SUFFICIENT INFORMATION TO DEMON STRATE THAT THE PROD UCER 2 MEETS THE COND ITIONS OF THIS SECTI ON. 3 (C) THIS SUBTITLE DOES NO T AFFECT THE AUTHORI TY OF THE STATE OR A 4 LOCAL JURISDICTION T O REGULATE THE SALE OR USE OF ANY PACKAG ING 5 MATERIAL. 6 (D) THIS SUBTITLE DOES NO T PROHIBIT A PRODUCE R RESPONSIBILITY 7 ORGANIZATION FROM ES TABLISHING A DEPOSIT –RETURN SYSTEM AS ONE 8 STRATEGY FOR INCREAS ING THE CAPTURE AND RECYCLING OF BEVERAG E 9 CONTAINERS OR OTHER PACKAGING MATERIALS . 10 (D) THIS SUBTITLE MAY NOT BE CONSTRUED TO : 11 (1) PROHIBIT A LOCAL GOVE RNMENT OR ANY OTHER ENTITY FROM 12 SELLING RECYCLED MATERIALS O R COMPOST TO END MAR KETS AND RETAINING 13 THE REVENUES FROM TH OSE SALES; 14 (2) AFFECT THE AUTHORITY OF A PUBLICLY OR PRI VATELY OWNED 15 MATERIALS RECYCLING FACILITY OR ORGANICS RECYCLING FACILITY T O 16 DETERMINE WHICH ENTI TIES MAY USE THE FAC ILITY; OR 17 (3) LIMIT THE ABILITY OF LOCAL GOVERNMENTS , MATERIALS 18 RECYCLING FACILITIES , OR ORGANICS RECYCLIN G FACILITIES TO MAKE DECISIONS 19 ON RECYCLING INFRAST RUCTURE PURCHASES , INCLUDING PROCESSING 20 EQUIPMENT. 21 9–2504. 22 (A) (1) ON OR BEFORE JUNE 30, 2024, THE DEPARTMENT SHALL 23 APPROVE A SINGLE PRO DUCER RESPONSIBILITY ORGANIZATION TO FULF ILL THE 24 REQUIREMENTS OF THIS SUBSECTION. 25 (2) (I) BEGINNING JULY 1, 2024, AND EACH YEAR THEREA FTER, A 26 THE PRODUCER RESPONSIBIL ITY ORGANIZATION SHA LL FILE A REGISTRATI ON 27 FORM WITH THE DEPARTMENT . 28 (II) THE REGISTRATION FORM SHALL INCLUDE : 29 1. A LIST OF THE RESPONSI BLE PARTIES PRODUCERS 30 PARTICIPATING IN THE PRODUCER RESPONSIBIL ITY ORGANIZATION ; 31 18 SENATE BILL 222 2. A LIST OF THE BRANDS O F EACH RESPONSIBLE P ARTY 1 PRODUCER PARTICIPATING IN THE PRODUCER RESPONSIBIL ITY ORGANIZATION ; 2 3. A LIST OF THE COVERED MATERIALS OF EACH 3 RESPONSIBLE PARTY PRODUCER PARTICIPATING IN THE PRODUCER 4 RESPONSIBILITY ORGAN IZATION; AND 5 4. THE NAME, ADDRESS, AND CONTACT INFORMAT ION 6 OF A PERSON RESPONSIBLE FOR ENSURING THE PRODUCE R RESPONSIBILITY 7 ORGANIZATION ’S AND THE MEMBER RES PONSIBLE PARTIES ’ PRODUCERS ’ 8 COMPLIANCE WITH THIS SUBTITLE. 9 (III) AT SUBJECT TO PARAGRAPH (2) OF THIS SUBSECTION , AT 10 THE TIME OF FILING T HE REGISTRATION FORM , A THE PRODUCER RESPONSIBIL ITY 11 ORGANIZATION SHALL P AY TO THE DEPARTMENT AN ANNUAL REGISTRATION FEE 12 TO COVER THE COSTS O F RECORD KEEPING , NOT TO EXCEED $1,000. 13 (IV) AT THE TIME OF THE IN ITIAL SUBMISSION OF THE 14 REGISTRATION FORM BY A THE PRODUCER RESPONSIB ILITY ORGANIZATION , THE 15 ORGANIZATION SHALL H AVE 60 DAYS TO PAY TO THE DEPARTMENT THE ESTIMA TED 16 COST OF CONDUCTING T HE INITIAL STATEWIDE RECYCLING NEEDS ASSE SSMENT 17 REQUIRED UNDER § 9–1702.2 OF THIS TITLE. 18 (V) IF MORE THAN ONE PROD UCER RESPONSIBILITY 19 ORGANIZATION REGISTE RS WITH THE DEPARTMENT , THE DEPARTMENT SHALL 20 EQUALLY DIVIDE THE C OST OF THE STATEWIDE RECYCLING NEEDS ASSE SSMENT. 21 (3) BEFORE ESTABLISHING A ND COLLECTING AN ANN UAL 22 REGISTRATION FEE UND ER PARAGRAPH (2)(III) OF THIS SUBSECTION , THE 23 DEPARTMENT SHALL : 24 (I) PUBLISH A PROPOSED FE E ON ITS WEBSITE; AND 25 (II) ALLOW 90 CALENDAR DAYS FOR PU BLIC COMMENT . 26 (4) (I) ON OR AFTER JULY 1, 2030, A NONPROFIT ORGANIZA TION 27 MAY REQUEST THAT THE DEPARTMENT DESIGNATE THE NONPROFIT 28 ORGANIZATION AS AN ADDITIONAL PRODUCER RESPONSIBILITY ORGAN IZATION. 29 (II) THE DEPARTMENT MAY DESIGN ATE A NONPROFIT 30 ORGANIZATION AS AN A DDITIONAL PRODUCER R ESPONSIBILITY ORGANI ZATION IF 31 THE DEPARTMENT DETERMINES , IN COORDINATION WITH THE ADVISORY COUNCIL 32 ESTABLISHED UNDER § 9–2505 OF THIS SUBTITLE , THAT THE DESIGNATION OF THE 33 ADDITIONAL PRODUCER RESPONSIBILITY ORGAN IZATION IS NECESSARY TO: 34 SENATE BILL 222 19 1. INCREASE RECYCLING RA TES; OR 1 2. IMPROVE RECYCLING SER VICES FOR A SPECIFIC 2 TYPE OF PACKAGING MA TERIAL. 3 (III) IF THE DEPARTMENT APPROVES T HE DESIGNATION OF AN 4 ADDITIONAL PRODUCER RESPONSIBILITY ORGAN IZATION UNDER THIS 5 SUBSECTION, THE PRODUCER RESPONS IBILITY ORGANIZATION SHALL: 6 1. NOT LATER THAN 30 DAYS AFTER BEING APP ROVED 7 BY THE DEPARTMENT AND ON OR BEFORE JULY 1 EACH YEAR THEREAFTER , FILE A 8 REGISTRATION FORM WI TH THE DEPARTMENT CONTAINING THE INFORMATION 9 REQUIRED UNDER PARAG RAPH (2)(II) OF THIS SUBSECTION A ND PAY THE ANNUAL 10 REGISTRATION FEE DES CRIBED IN PARAGRAPH (2)(III) OF THIS SUBSECTION ; AND 11 2. COORDINATE WITH THE PRODUCER RE SPONSIBILITY 12 ORGANIZATION ESTABLI SHED UNDER PARAGRAPH (1) OF THIS SUBSECTION , THE 13 DEPARTMENT , AND LOCAL GOVERNMENT S TO ENSURE THAT : 14 A. RECYCLING SERVICES FO R RESIDENTS OF THE STATE 15 ARE PROVIDED IN A SE AMLESS MANNER ; AND 16 B. PUBLIC OUTREACH , EDUCATION, AND 17 COMMUNICATION ARE PR OVIDED IN A CONSISTE NT MANNER. 18 (IV) THE PRODUCER RESPONSI BILITY ORGANIZATION 19 ESTABLISHED UNDER PA RAGRAPH (1) OF THIS SUBSECTION A ND ANY ADDITIONAL 20 PRODUCER RESPONSIBIL ITY ORGANIZATIONS DE SIGNATED UNDER T HIS 21 PARAGRAPH MAY CREATE A REPRESENTATIVE ORG ANIZATION TO REPRESE NT THE 22 PARTICIPATING PRODUC ER RESPONSIBILITY OR GANIZATIONS TO IMPLE MENT THE 23 REQUIREMENTS OF THIS SUBTITLE. 24 (2) (B) (I) (1) ON OR BEFORE APRIL 1, 2026, AND EVERY 5 25 YEARS THEREAFTER , EACH PRODUCER SHALL , INDIVIDUALLY OR AS P ART OF A 26 PRODUCER RESPONSIBIL ITY ORGANIZATION , SUBMIT A PRODUCER 27 RESPONSIBILITY PLAN TO THE DEPARTMENT FOR REVIEW AND APPROVAL . 28 (II) IF MORE THAN ONE PROD UCER RESPONSIBILITY 29 ORGANIZATION SUBMITS A PRODUCER RESPONSIB ILITY PLAN TO THE 30 DEPARTMENT : 31 20 SENATE BILL 222 1. THE PRODUCER RESPONSI BILITY ORGANIZATIONS 1 SHALL COORDINATE WIT H THE DEPARTMENT AND LOCAL GOVERNMENTS TO 2 ENSURE THAT : 3 A. RECYCLING SERVICES FO R RESIDENTS IN THE STATE 4 ARE PROVIDED IN A SE AMLESS MANNER ; AND 5 B. PUBLIC OUTREACH , EDUCATION, AND 6 COMMUNICATION ARE PR OVIDED IN A CONSISTE NT MANNER; AND 7 2. THE PRODUCER RESPONSI BILITY ORGANIZATIONS 8 MAY CREATE A REPRESE NTATIVE ORGANIZATION TO REPRESENT ALL 9 PARTICIPATING PRODUC ER RESPONSIBILITY OR GANIZATIONS TO IMPLE MENT THE 10 REQUIREMENTS OF THIS SUBTITLE. 11 (III) (2) BEFORE SUBMITTING THE PLAN REQUIRED UNDER 12 THIS SUBSECTION TO T HE DEPARTMENT , A PRODUCER OR PRODUC ER 13 RESPONSIBILITY ORGAN IZATION SHALL: 14 1. (I) CONSULT WITH THE ADVI SORY COUNCIL 15 ESTABLISHED UNDER § 9–2505 OF THIS SUBTITLE; AND 16 2. (II) CONSIDER THE WRITTEN RECOMMENDATIONS OF 17 THE ADVISORY COUNCIL PROVIDED UNDER § 9–2505(G)(6) OF THIS SUBTITLE AND 18 RESPOND IN WRITING T O THE ADVISORY COUNC IL. 19 (3) (I) ON EXCEPT AS PROVIDED IN SUBPARAGRAPH (II) OF THIS 20 PARAGRAPH , ON OR AFTER A DATE ESTA BLISHED IN REGULATIO NS ADOPTED BY THE 21 DEPARTMENT UNDER § 9–2509 OF THIS SUBTITLE , A PRODUCER MAY NOT S ELL, 22 OFFER FOR SALE , DISTRIBUTE, OR IMPORT FOR SALE O R DISTRIBUTION PACKA GING 23 MATERIALS FOR USE IN THE STATE UNLESS THE PRODUCER , INDIVIDUALLY OR AS 24 PART OF A PRODUCER R ESPONSIBILITY ORGANI ZATION, HAS AN APPROVED 25 PRODUCER RESPONSIBIL ITY PLAN ON FILE WIT H THE DEPARTMENT . 26 (II) A PRODUCER IS NOT REQU IRED TO SUBMIT A PRO DUCER 27 RESPONSIBILITY PLAN TO THE DEPARTMENT , INDIVIDUALLY OR AS PART OF A 28 PRODUCER RESPONSIBIL ITY ORGANIZATION , IF ANOTHER PERSON HA S AGREED TO 29 ASSUME RESPONSIBILIT Y UNDER THIS SUBTITL E FOR ANY PACKAGING MATERIAL 30 SOLD, OFFERED FOR SALE , OR DISTRIBUTED IN OR INTO THE STATE BY THAT 31 PRODUCER. 32 (B) (C) A PRODUCER RESPONSIBIL ITY PLAN SHALL: 33 SENATE BILL 222 21 (1) IDENTIFY THE PRODUCER S COVERED BY THE PLA N, INCLUDING 1 THE CONTACT INFORMAT ION FOR EACH PARTICI PATING PRODUCER AND THE 2 PRODUCER RESPONSIBIL ITY ORGANIZATION ; 3 (2) IDENTIFY EACH BRAND O F PACKAGING MATERIAL S COVERED BY 4 THE PLAN; 5 (3) REQUIRE, IN ACCORDANCE WITH S UBSECTION (C) (D) OF THIS 6 SECTION, ACHIEVEMENT WITHIN 5 YEARS AFTER THE DATE ON WHICH THE FIRST 7 VERSION OF THE PLAN IS APPROVED AND ESTA BLISH THE FOLLOWING 8 PERFORMANCE GOALS , AS RELEVANT, FOR EACH PACKAGING MATERIAL T YPE: 9 (I) POSTCONSUMER RECYCLED CONTENT GOALS ; 10 (II) RECYCLABILITY AND REC YCLING RATE GOALS ; 11 (III) REUSE GOALS; 12 (IV) PACKAGING REDUCTION G OALS; 13 (V) COMPOST ACCESS OR COM POST RATE GOALS , IF 14 APPLICABLE AND TECHN OLOGICALLY AND ENVIR ONMENTALLY FEASIBLE ; 15 (VI) CONTAMINATION REDUCTI ON RATE GOALS ; 16 (VII) GREENHOUSE GAS REDUCT ION GOALS; AND 17 (VIII) ANY OTHER GOAL THAT R EDUCES PACKAGING MAT ERIAL 18 WASTE AND IS JUSTIFI ED IN THE PLAN; 19 (4) REQUIRE EACH PARTICIP ATING PRODUCER PRODUCERS TO 20 REDUCE ALL PACKAGING MATERIAL WASTE TO TH E MAXIMUM EXTENT 21 PRACTICABLE , AND BY NOT LESS THAN 25% FOR EACH PACKAGING M ATERIAL TYPE, 22 WITHIN 5 YEARS AFTER THE DATE ON WHICH THE FIRST V ERSION OF THE PLAN I S 23 APPROVED; 24 (5) DESCRIBE, IN ACCORDANCE WITH S UBSECTION (D) (E) OF THIS 25 SECTION, THE FINANCING METHOD THAT WILL BE USED TO IMPLEMENT THE PLAN ; 26 (6) DESCRIBE HOW THE PERF ORMANCE GOALS ESTABL ISHED UNDER 27 ITEM (3) OF THIS SUBSECTION W ILL BE MET OR EXCEED ED; 28 (7) DESCRIBE HOW STAKEHOL DER COMMENTS WERE CO NSIDERED IN 29 THE DEVELOPMENT OF T HE PLAN; 30 22 SENATE BILL 222 (8) DESCRIBE HOW STAFFING AND ADMINISTERING TH E 1 IMPLEMENTATION OF TH E PLAN WILL BE HANDL ED; 2 (9) DESCRIBE THE STRATEGY FOR REDUCING PACKAGI NG 3 MATERIALS IN THE STATE, INCLUDING HOW PRODUC ERS PARTICIPATING IN A PLAN 4 WILL WORK TOGETHER T O REDUCE PACKAGING T HROUGH PRODUCT DESIG N AND 5 PROGRAM INNOVATIONS ; 6 (10) DESCRIBE THE ACTIONS TAKEN OR THAT WILL B E TAKEN FOR 7 PUBLIC OUTREACH , EDUCATION, AND COMMUNICATION , TAKING INTO ACCOUNT 8 THAT PUBLIC OUTREACH , EDUCATION, AND COMMUNICATION SH ALL: 9 (I) PROMOTE THE RESPONSIB LE END–OF–LIFE MANAGEMENT 10 OF PACKAGING MATERIA LS; 11 (II) PROVIDE INFORMATION O N HOW TO PREVENT LIT TER OF 12 PACKAGING MATERIALS ; 13 (III) PROVIDE RECYCLING AND ORGANICS RECYCLI NG 14 INSTRUCTIONS THAT AR E, TO THE EXTENT PRACTI CABLE: 15 1. CONSISTENT STATEWIDE , TAKING INTO ACCOUNT 16 DIFFERENCES AMONG LO CAL LAWS AND PROCESS ING CAPABILITIES; 17 2. EASY TO UNDERSTAND ; AND 18 3. EASILY ACCESSIBLE ; AND 19 (IV) PROVIDE FOR OUTREACH AND EDUCATION THAT A RE: 20 1. DESIGNED TO ACHIEVE P ACKAGING MATERIALS 21 MANAGEMENT GOALS AND REQUIREMENTS , INCLUDING THE PREVEN TION OF 22 CONTAMINATION OF PAC KAGING MATERIALS ; 23 2. COORDINATED ACROSS PR OGRAMS TO AVOID 24 CONFUSION FOR CO NSUMERS; AND 25 3. DEVELOPED IN CONSULTA TION WITH LOCAL 26 GOVERNMENTS AND OTHE R STAKEHOLDERS ; 27 (11) DESCRIBE, IN ACCORDANCE WITH S UBSECTION (E) (F) OF THIS 28 SECTION, THE AMOUNT OF FUNDIN G THAT WILL BE USED FOR IMPROVING REUSE , 29 ORGANICS RECYCLING , AND RECYCLING IN THE STATE; 30 SENATE BILL 222 23 (12) DESCRIBE THE PROCESS BY WHICH A LOCAL GOV ERNMENT MAY 1 REQUEST REIMBURSEMEN T FOR COSTS ASSOCIAT ED WITH TRANSPORTING , 2 COLLECTING, AND PROCESSING PACKA GING MATERIALS THAT ARE IDENTIFIED IN 3 THE PLAN, INCLUDING: 4 (I) THE PROCESS BY WHICH THE REQUEST WILL BE REVIEWED; 5 (II) THE PROCESS FOR APPRO VING OR DENYING A RE QUEST 6 FOR REIMBURSEMENT ; 7 (III) THE SCHEDULE FOR PROV IDING REIMBURSEMENT THAT 8 INCLUDES REIMBURSEME NT ON AT LEAST A QUA RTERLY BASIS; AND 9 (IV) THE PROCESS FOR PROVI DING REIMBURSEMENT F OR 10 MULTIPLE BRANDS OF P ACKAGING MATERIALS ; 11 (13) (I) PROVIDE THE WRITTEN R ECOMMENDATIONS FROM THE 12 ADVISORY COUNCIL PRO VIDED UNDER § 9–2505(G)(6) OF THIS SUBTITLE AND THE 13 PRODUCER RESPONSIBIL ITY ORGAN IZATION’S WRITTEN RESPONSE T O THE 14 ADVISORY COUNCIL ; AND 15 (II) DESCRIBE HOW THE WRIT TEN RECOMMENDATIONS FROM 16 THE ADVISORY COUNCIL WERE CONSIDERED AND ADDRESSED IN THE 17 DEVELOPMENT OF THE P LAN; AND 18 (14) INCLUDE ANY OTHER INF ORMATION THAT IS REQ UIRED BY THE 19 DEPARTMENT . 20 (C) (D) BASED ON THE RESULTS OF THE STATEWIDE REC YCLING NEEDS 21 ASSESSMENT CONDUCTED UNDER § 9–1702.2 OF THIS TITLE, THE DEPARTMENT , IN 22 COORDINATION WITH A PRODUCER RESPONSIBIL ITY ORGANIZATION , SHALL 23 ESTABLISH PERFORMANC E GOALS FOR EACH PAC KAGING MATERIAL TYPE USING A 24 BASELINE YEAR THAT I S INFORMED BY THE ST ATEWIDE RECYCLING NE EDS 25 ASSESSMENT , INCLUDING ESTABLISHI NG RECYCLING RATE GO ALS FOR EACH 26 PACKAGING MATERIAL T YPE, AT 5–, 10–, AND 15–YEAR INTERVALS . 27 (D) (E) (1) THE FINANCING METHOD THAT WILL BE USED BY A 28 PRODUCER RESPONSIBILITY ORGAN IZATION TO IMPLEMENT A PRODUCER 29 RESPONSIBILITY PLAN SHALL: 30 (I) PROVIDE THE METHOD FO R EITHER DIRECT INVE STMENTS 31 OR REIMBURSEMENTS FO R IMPROVING INFRASTR UCTURE FOR REUSE , ORGANICS 32 24 SENATE BILL 222 RECYCLING, AND RECYCL ING IN ACCORDANCE WI TH SUBSECTION (B)(11) (C)(11) OF 1 THIS SECTION; 2 (II) PROVIDE SUBJECT TO PARAGRAPH (2) OF THIS 3 SUBSECTION, PROVIDE A REASONABLE ANNUAL RATE PER TON OF RECY CLED OR 4 COMPOSTED PACKAGING MATERIALS FOR REIMBU RSING LOCAL GOVERNME NTS 5 FOR COSTS ASSOCIATED WIT H: 6 1. UP TO 50% OF THE COST OF COLLE CTING PACKAGING 7 MATERIALS THAT ARE I DENTIFIED IN THE PLA N; 8 2. TRANSPORTING RECYCLAB LE OR COMPOSTABLE 9 PACKAGING MATERIALS TO A RECYCLING OR MATERIALS RECYCLING FACILITY OR 10 AN ORGANICS RECYCLING F ACILITY; 11 3. PROCESSING PACKAGING MATERIALS, INCLUDING 12 REMOVING CONTAMINATI ON; AND 13 4. RECYCLING PACKAGING M ATERIALS THAT ARE 14 DIVERTED TO BE RECYC LED OR COMPOSTED IN THE STATE CONVERTING 15 PACKAGING MATERIALS THAT ARE DIVERTED TO BE RECYCLED OR COMPO STED 16 INTO COMMODITY MATER IALS; 17 (III) ESTABLISH SUBJECT TO PARAGRAPH (3) OF THIS 18 SUBSECTION, ESTABLISH A FEE STRUCTURE FOR PARTICIPATING PRODUC ERS THAT 19 IS SET IN A MANNER T O COVER COSTS ASSOCI ATED WITH: 20 1. IMPLEMENTING THE PLAN, INCLUDING THE 21 ADMINISTRATIVE COSTS OF A PRODUCER RESPON SIBILITY ORGANIZATIO N; 22 2. REIMBURSING LOCAL GOV ERNMENTS FOR COSTS I N 23 ACCORDANCE WITH ITEM (II) OF THIS PARAGRAPH ; 24 3. THE ADMINISTRATION , REVIEW, OVERSIGHT, AND 25 ENFORCEMENT OF THE P LAN BY THE DEPARTMENT ; 26 4. IMPLEMENTING THE STRA TEGY IN THE PLAN FOR 27 REDUCING PACKAGING M ATERIALS IN ACCORDAN CE WITH SUBSECTION (B)(9) (C)(9) 28 OF THIS SECTION; AND 29 5. IMPLEMENTING THE STRA TEGY IN THE PLAN FOR 30 IMPROVING REUSE , ORGANICS RECYCLING , AND RECYCLING IN THE STATE IN 31 ACCORDANCE WITH SUBS ECTION (B)(11) (C)(11) OF THIS SECTION; 32 SENATE BILL 222 25 (IV) 1. DESCRIBE THE INCENTIV ES TO ENCOURAGE 1 PARTICIPATING PRODUC ERS TO ENGAGE IN WAS TE REDUCTION AND REC YCLING 2 ACTIVITIES; AND 3 2. DESCRIBE THE DISINCEN TIVES TO DISCOURAGE 4 DESIGNS OR PRACTICES THAT INCREASE THE CO ST OF MANAGING PACKA GING 5 MATERIALS; 6 (V) BE EVALUATED BY AN IN DEPENDENT FINANCIAL AUDITOR, 7 AS DESIGNATED BY THE DEPARTMENT , TO ENSURE THAT THE C OSTS OF 8 IMPLEMENTING THE PLA N ARE COVERED ; AND 9 (VI) MEET ANY OTHER REQUIR EMENT ESTABLISHED BY THE 10 DEPARTMENT BY REGULAT ION. 11 (2) THE REIMBURSEMENT RAT E ESTABLISHED UNDER PARAGRAPH 12 (1)(II) OF THIS SUBSECTION S HALL BE: 13 (I) BASED ON: 14 1. THE POPULATION SIZE O F A LOCAL JURISDICTI ON; 15 2. THE DISTANCE TO THE NEAREST R ECYCLING OR 16 ORGANICS RELEVANT MATERIALS RECYCLING FACILITY OR ORGANICS RECYCLIN G 17 FACILITY; 18 3. THE COMMODITY VALUE O F RECYCLED PACKAGING 19 MATERIALS; AND 20 4. ANY SOCIOECONOMIC OR GEOGRAPHIC FACTOR , AS 21 DETERMINED BY THE DEPARTMENT ; AND 22 (II) DISCOUNTED EQUIVALENT TO THE ESTIMATED ANN UAL 23 VOLUME OF PACKAGING MATERIALS SOLD IN TH E STATE TO BY A PERSON THAT IS 24 EXEMPT FROM THE REQU IREMENTS OF THIS SUB TITLE UNDER § 9–2503(B) OF THIS 25 SUBTITLE. 26 (3) (I) BEFORE ESTABLISHING THE FEE STRUCTURE FO R 27 PARTICIPATING PRODUC ERS UNDER PARAGRAPH (1)(III) OF THIS SUBSECTION , THE 28 PRODUCER RESPONSIBIL ITY ORGANIZATION SHA LL: 29 1. PUBLISH A PROPOSED FE E ON ITS WEBSITE; AND 30 2. ALLOW 90 CALENDAR DAYS FOR PU BLIC COMMENT . 31 26 SENATE BILL 222 (II) THE FEE STRUCTURE ESTABLIS HED UNDER PARAGRAPH 1 (1)(III) OF THIS SUBSECTION S HALL BE VARIABLE BAS ED ON: 2 (I) 1. COSTS ASSOCIATED WITH TRANSPORTING , 3 COLLECTING, AND PROCESSING PACKA GING MATERIALS ; 4 (II) 2. AN ECO–MODULATION OF FEES , INCLUDING 5 ESTABLISHING : 6 1. A. A HIGHER FEE FOR PACKA GING MATERIALS 7 WITH LOW RECYCLABILITY OR RECYCLED CONTENT ; AND 8 2. B. A DISCOUNTED FEE FOR P ACKAGING 9 MATERIALS WITH HIGH RECYCLABIL ITY OR RECYCLED CONT ENT; AND 10 (III) 3. ANY OTHER FACTOR , AS DETERMINED BY THE 11 DEPARTMENT . 12 (4) (I) A PRODUCER RESPONSIBIL ITY ORGANIZATION SHA LL 13 RETAIN ANY FEE COLLE CTED UNDER THIS SUBS ECTION IN ITS OWN AC COUNT. 14 (II) THE DEPARTMENT MAY REQUES T AT ANY TIME AN AUD IT OF 15 THE FINANCIAL RECORD S OF A PRODUCER RESP ONSIBILITY ORGANIZAT ION. 16 (E) (F) THE FUNDING THAT WILL BE USED FOR IMPROVIN G REUSE, 17 ORGANICS RECYCLING , AND RECYCLING SHALL INCLUDE INVESTMENT I N MARKET 18 DEVELOPMENT AND EXIS TING AND FUTURE REUS E, ORGANICS RECYCLING , AND 19 RECYCLING INFRASTRUC TURE, GIVING PRIORITY TO I NVESTMENT IN EXISTING 20 INFRASTRUCTURE , INCLUDING: 21 (1) INSTALLING OR UPGRADI NG EQUIPMENT TO IMPR OVE THE 22 SORTING OF PACKAGING MATERIALS AT EXISTIN G SORTING AND PROCES SING 23 FACILITIES; 24 (2) MITIGATING THE IMPACT S OF PACKAGING MATER IALS ON OTHER 25 COMMODITIES AT EXIS TING SORTING AND PRO CESSING FACILITIES ; AND 26 (3) CAPITAL EXPENDITURES FOR NEW TECHNOLOGY , EQUIPMENT, 27 AND FACILITIES, BASED ON THE RESULTS OF THE STATEWIDE REC YCLING NEEDS 28 ASSESSMENT CONDUCTED UNDER § 9–1702.2 OF THIS TITLE. 29 (F) (G) THE DEPARTMENT SHALL REVIEW: 30 SENATE BILL 222 27 (1) THE PRODUCER RESPONSI BILITY PLAN REQUIRED UNDER 1 SUBSECTION (A) OF THIS SECTION; AND 2 (2) THE WORK PRODUCT OF T HE INDEPENDENT FINAN CIAL AUDITOR 3 DESIGNATED BY THE DEPARTMENT TO EVALUAT E THE FINANCING COMP ONENT OF 4 THE PRODUCER RESPONS IBILITY PLAN UNDER SUBSECTIO N (D)(1)(V) (E)(1)(V) OF 5 THIS SECTION. 6 (G) (H) (1) WITHIN 120 DAYS AFTER RECEIVING A PROPOSED 7 PRODUCER RESPONSIBIL ITY PLAN, THE DEPARTMENT SHALL APPR OVE, APPROVE 8 WITH CONDITIONS , OR REJECT THE PLAN . 9 (2) IN MAKING A DETERMINA TION UNDER PARAGRAPH (1) OF THIS 10 SUBSECTION, THE DEPARTMENT SHALL CONS IDER WHETHER : 11 (I) THE PRODUCER RESPONSI BILITY PLAN COMPLIES WITH 12 THE REQUIREMENTS OF THIS SECTION, INCLUDING WHETHER TH E FINANCING 13 METHOD WILL COVER TH E COSTS OF IMPLEMENT ING THE PLAN; AND 14 (II) THE PRODUCER RESPONSI BILITY ORGANIZATION ENGAGED 15 SUFFICIENTLY WITH ST AKEHOLDERS , INCLUDING LOCAL GOVE RNMENTS, IN 16 DEVELOPING THE PLAN . 17 (3) NOT LATER THAN 60 DAYS AFTER THE DATE A PRODUCER 18 RESPONSIBILITY PLAN IS INITIALLY APPROVE D UNDER THIS SECTION, A PRODUCER 19 RESPONSIBILITY ORGAN IZATION SHALL PAY TO THE DEPARTMENT : 20 (I) THE DEPARTMENT ’S COST OF REVIEWING THE PLAN; AND 21 (II) THE DEPARTMENT ’S ESTIMATED COSTS OF 22 ADMINISTERING , OVERSEEING, AND ENFORCING THE PL AN BETWEEN THE INITI AL 23 DATE OF APPROVAL AND THE D ATE OF THE INITIAL A NNUAL REPORT REQUIRE D 24 UNDER § 9–2507 OF THIS SUBTITLE. 25 (H) (I) WITHIN 6 MONTHS AFTER THE DAT E A PRODUCER 26 RESPONSIBILITY PLAN IS APPROVED UNDER TH IS SECTION, A PRODUCER 27 RESPONSIBILITY ORGAN IZATION SHALL IMPLEM ENT THE PLAN. 28 (I) (J) (1) EXCEPT AS PROVIDED IN PARAGRAPH (2) OF THIS SUBSECTION 29 AND SUBJECT TO PARAG RAPH (3) OF THIS SUBSECTION , AN APPROVED PRODUCER 30 RESPONSIBILITY PLAN SHALL EXPIRE AFTER 5 YEARS. 31 28 SENATE BILL 222 (2) A PRODUCER RESPONSIBIL ITY PLAN MAY CONTINU E AFTER 5 1 YEARS IF IT IS RENEG OTIATED, RENEWED, OR AMENDED AND APPRO VED BY THE 2 DEPARTMENT IN ACCORDA NCE WITH THIS SUBTIT LE. 3 (3) THE DEPARTMENT MAY RESCIN D APPROVAL OF A PROD UCER 4 RESPONSIBILITY PLAN AT ANY TIME FOR GOOD CAUSE. 5 (4) IF THE DEPARTMENT RESCINDS A N APPROVAL OF A PRODUC ER 6 RESPONSIBILITY PLAN UNDER PARAGRAPH (3) OF THIS SUBSECTION , THE 7 PRODUCER, OR IF APPLICABLE , THE PRODUCER RESPONS IBILITY ORGANIZATION 8 MAY AMEND THE PLAN A ND SUBMIT IT TO THE DEPARTMENT FOR APPROV AL IN 9 ACCORDANCE WITH THIS SUBTITLE. 10 (5) IF, BASED ON THE ANNUAL REPORT SUBMITTED UND ER § 9–2507 11 OF THIS SUBTITLE , THE PERFORMANCE GOAL S ESTABLISHED UNDER SUBSECTION 12 (B)(3) (C)(3) OF THIS SECTION HAVE NOT BEEN ACHIEVED , THE DEPARTMENT MAY : 13 (I) REQUIRE THAT A PRODUC ER RESPONSIBILITY 14 ORGANIZATION AMEND T HE PRODUCER RESPONSI BILITY PLAN; AND 15 (II) IMPOSE AN ADMINISTRAT IVE PENALTY ON A PRO DUCER 16 RESPONSIBILITY ORGAN IZATION IN ACCORDANC E WITH § 9–2510(C) OF THIS 17 SUBTITLE. 18 (6) IF THE DEPARTMENT REQUIRES A PRODUCER RESPONSIBIL ITY 19 ORGANIZATION TO AMEND THE PRODUCER RESPONSIBIL ITY PLAN UNDER 20 PARAGRAPH (5) OF THIS SUBSECTION , THE PRODUCER RESPONS IBILITY 21 ORGANIZATION MUST CO VER THE COST OF THE DEPARTMENT ’S REVIEW AND 22 SUPPLEMENTAL WORK ON THE PLAN. 23 9–2505. 24 9–2502. 25 ON OR BEFORE OCTOBER 1, 2023, THE DEPARTMENT SHALL APPR OVE A 26 SINGLE PRODUCER RESP ONSIBILITY ORGANIZAT ION TO REPRESENT THE INTERESTS 27 OF PRODUCERS UNDER T HIS SUBTITLE. 28 9–2503. 29 (A) THERE IS A PRODUCER R ESPONSIBILITY PLAN ADVISORY COUNCIL . 30 (B) THE PURPOSE OF THE AD VISORY COUNCIL IS TO PROVIDE ADVICE TO 31 THE DEPARTMENT AND PRODUC ER RESPONSIBILITY OR GANIZATIONS FOR 32 SENATE BILL 222 29 DRAFTING, AMENDING, AND IMPLEMENTING PRO DUCER RESPONSIBILITY PLANS 1 AND MAKE RECOMMENDAT IONS REGARDING ESTAB LISHING AND IMPLEMEN TING A 2 PRODUCER RESPONSIBILI TY PROGRAM IN THE STATE FOR PACKAGING M ATERIALS. 3 (C) (1) THE ADVISORY COUNCIL SHALL CONSIST OF UP TO 21 MEMBERS, 4 APPOINTED BY THE SECRETARY SECRETARY, REPRESENTING A BROAD RANGE OF 5 INTERESTED STAKEHOLD ERS APPOINTED BY THE SECRETARY, INCLUDING: 6 (I) REPRESENTATIVES FROM THE FOLLOWING INDUST RIES OR 7 ENTITIES IN THE STATE: 8 1. LOCAL GOVERNMENT AGEN CIES RESPONSIBLE FOR 9 RECYCLING PROGRAMS ; 10 2. RECYCLABLES AND COMPO STABLE MATERIALS 11 COLLECTORS FROM BOTH THE PUBLIC AND PRIVATE SECTORS; 12 3. RECYCLING PROCESSORS FROM BOTH THE PUBLIC 13 AND PRIVATE SECTORS ; 14 4. ORGANICS RECYCLING PR OCESSORS; 15 5. THE PRODUCERS FROM THE CONSUMER GOODS 16 SECTOR; 17 6. RETAIL AND SMALL BUSI NESSES; AND 18 7. MATERIAL–ORIENTED TRADE GROUPS; 19 (II) A REPRESENTATIVE FROM EACH THE PRODUCER 20 RESPONSIBILITY ORGAN IZATION APPROVED BY THE DEPARTMENT UNDER § 9–2502 21 OF THIS SUBTITLE; 22 (III) REPRESENTATIVES OF AT LEAST TWO NONPROFIT 23 ORGANIZATIONS IN THE STATE WITH MISSIONS R ELATED TO REDUCI NG WASTE; 24 (IV) AT LEAST ONE REPRESEN TATIVE OF AN ENVIRON MENTAL 25 ADVOCACY ORGANIZATIO N; 26 (V) AT LEAST ONE REPRESEN TATIVE OF AN ENVIRONMENTAL 27 JUSTICE ADVOCACY ORGANIZATIO N THAT ADVOCATES ON BE HALF OF 28 OVERBURDENED OR UNDE RSERVED COMMUNITIES , AS DEFINED IN § 1–701 OF THIS 29 ARTICLE; AND 30 30 SENATE BILL 222 (VI) AT LEAST TWO MEMBERS OF THE PUBLIC WHO RE SIDE IN 1 THE STATE. 2 (2) IN APPOINTING MEMBERS TO THE ADVISORY COUN CIL, THE 3 SECRETARY SHALL , TO THE EXTENT PRACTI CABLE, ENSURE THAT THE 4 MEMBERSHIP OF THE AD VISORY COUNCIL REPRESENTS : 5 (I) ALL GEOGRAPHIC REGION S OF THE STATE; 6 (II) LARGE AND SMALL COUNT IES AND MUNICIPALITI ES; AND 7 (III) THE VARIABILITY IN HO W WASTE AND RECYCLAB LE AND 8 COMPOSTABLE MATERIAL S ARE COLLECTED AND PROCESSED IN THE STATE. 9 (3) A REPRESENTATIVE FROM A PRODUCER OR A PRODUCER 10 RESPONSIBILITY ORGAN IZATION MAY NOT SERV E AS A VOTING MEMBER OR AS 11 COCHAIR OF THE ADVIS ORY COUNCIL. 12 (4) (I) THE TERM OF A MEMBER IS 4 YEARS AND A MEMBER M AY BE 13 REAPPOINTED . 14 (II) THE TERMS OF MEMBERS ARE STAGGERED AS REQUIRE D BY 15 THE TERMS PROVIDED F OR MEMBERS OF THE AD VISORY COUNCIL ON OCTOBER 1, 16 2023. 17 (III) AT THE END OF A TERM , A MEMBER CONTINUES T O SERVE 18 UNTIL A SUCCESSOR IS APPOINTED AND QUALIF IES. 19 (IV) A MEMBER WHO IS APPOIN TED AFTER A TERM HAS BEGUN 20 SERVES ONLY FOR THE REST OF THE TERM AND UNTIL A SUCCESSOR IS APPOINTED 21 AND QUALIFIES. 22 (D) FROM AMONG THE ADVISO RY COUNCIL MEMBERS , THE SECRETARY 23 SHALL DESIGNATE TWO REPRESENTATIVES TO S ERVE AS COCHAIRS . 24 (E) THE DEPARTMENT SHALL PROV IDE STAFF FOR THE ADVISORY COU NCIL. 25 (F) A MEMBER OF THE ADVISO RY COUNCIL: 26 (1) MAY NOT RECEIVE COMPE NSATION AS A MEMBER OF THE 27 ADVISORY COUNCIL ; BUT 28 (2) IS ENTITLED TO REIMBU RSEMENT FOR EXPENSES UNDER THE 29 STANDARD STATE TRAVEL REGULATIONS, AS PROVIDED IN THE STATE BUDGET . 30 SENATE BILL 222 31 (F) (G) THE ADVISORY COUNCIL SHALL MEET AT LEAST QUARTERLY THE 1 REQUEST OF THE SECRETARY. 2 (G) (H) (1) THE ADVISORY COUNCIL SHALL: EVALUATE AND MAKE 3 RECOMMENDATIONS , INCLUDING LEGISLATIV E RECOMMENDATIONS , ON HOW TO 4 EFFECTIVELY ESTABLIS H AND IMPLEMENT A PROD UCER RESPONSIBILITY PROGRAM 5 IN THE STATE FOR PACKAGING M ATERIALS. 6 (2) IN MAKING RECOMMENDAT IONS UNDER PARAGRAPH (1) OF THIS 7 SUBSECTION, THE ADVISORY COUNCIL SHALL INCLUDE RECOMM ENDATIONS 8 REGARDING THE RESPON SIBILITIES OF PRODUC ERS UN DER A PRODUCER 9 RESPONSIBILITY PROGR AM. 10 (I) ON OR BEFORE DECEMBER 1, 2024, THE ADVISORY COUNCIL SHALL 11 REPORT ITS FINDINGS AND RECOMMENDATIONS TO THE GOVERNOR AND , IN 12 ACCORDANCE WITH § 2–1257 OF THE STATE GOVERNMENT ARTICLE, THE SENATE 13 COMMITTEE ON EDUCATION, ENERGY, AND THE ENVIRONMENT AND THE HOUSE 14 ENVIRONMENT AND TRANSPORTATION COMMITTEE. 15 (1) ON REQUEST BY A PRODU CER OR PRODUCER RESP ONSIBILITY 16 ORGANIZATION , PROVIDE ADVICE REGAR DING THE DRAFTING OR AMENDING OF A 17 PRODUCER RESPONSIBIL ITY PLAN REQUIRED UNDER § 9–2504 OF THIS SUBTITLE; 18 (2) RECEIVE AND REVIEW TH E PRODUCER RESPONSIB ILITY PLANS 19 SUBMITTED IN ACCORDA NCE WITH § 9–2504 OF THIS SUBTITLE; 20 (3) RECEIVE AND REVIEW AN NUAL REPORTS SUBMITT ED IN 21 ACCORDANCE WITH § 9–2507 OF THIS SUBTITLE; 22 (4) MAKE RECOMMENDATIONS TO THE DEPARTMENT REGARDING 23 PRODUCER RESPONSIBIL ITY PLAN APPROVAL ; 24 (5) MAKE RECOMMENDATIONS TO THE DEPARTMENT AND 25 PRODUCER RESPONSIBIL ITY ORGANIZATIONS RE GARDING PRODUCER 26 RESPONSIBILITY PLAN IMPLEMENTATION ; AND 27 (6) PROVIDE WRITT EN RECOMMENDATIONS R EGARDING THE 28 PRODUCER RESPONSIBIL ITY PLAN, INCLUDING ANY UPDATE OR REVISION TO AN 29 APPROVED PLAN , TO A PRODUCER RESPON SIBILITY ORGANIZATIO N BEFORE THE 30 PRODUCER RESPONSIBIL ITY ORGANIZATION SUB MITS THE PLAN TO THE 31 DEPARTMENT . 32 9–2506. 33 32 SENATE BILL 222 (A) IN ACCORDANCE WITH TH E REQUIREMENTS OF A PRODUCER 1 RESPONSIBILITY ORGAN IZATION, AS ESTABLISHED IN AN APPROVED PRODUCER 2 RESPONSIBILITY PLAN ON FILE WITH THE DEPARTMENT , AND ANY OTHER 3 REQUIREMENT ADOPTED BY THE DEPARTMENT , A LOCAL GOVERNMENT M AY 4 REQUEST REI MBURSEMENT FROM A PR ODUCER RESPONSIBILIT Y ORGANIZATION 5 FOR COSTS ASSOCIATED WITH COLLECTING , TRANSPORTING , AND PROCESSING 6 PACKAGING MATERIALS THAT ARE IDENTIFIED UNDER THE PLAN , INCLUDING COSTS 7 ASSOCIATED WITH RECY CLING SERVICES FOR P UBLIC PLACES AND PUB LIC 8 HOUSING. 9 (B) (1) IF MULTIPLE PRODUCER RESPONSIBILITY ORGAN IZATIONS 10 REGISTER APPROVED PR ODUCER RESPONSIBILIT Y PLANS WITH THE DEPARTMENT 11 IN ACCORDANCE WITH T HIS SUBTITLE , THE PRODUCER RESPONS IBILITY 12 ORGANIZATIONS SHALL COORDINATE REIMBURSE MENT REQUESTED UNDER THIS 13 SECTION. 14 (2) MULTIPLE PRODUCER RES PONSIBILITY ORGANIZA TIONS MAY 15 ESTABLISH A THIRD –PARTY ENTITY TO COOR DINATE REIMBURSEMENT IN 16 ACCORDANCE WITH THIS SUBSECTION. 17 (C) THIS SECTION DOES NOT AUTHORIZE A LOCAL GO VERNMENT TO 18 REQUEST REIMBURSEMEN T FROM A PRODUCER RESP ONSIBILITY ORGANIZAT ION 19 FOR COSTS ASSOCIATED WITH COMPOSTING MATE RIALS THAT ARE NOT P ACKAGING 20 MATERIALS, INCLUDING FOOD WASTE AND OTHER ORGANIC MA TERIALS. 21 9–2507. 22 (A) BEGINNING MARCH 1, 2027, EACH PRODUCER RESPON SIBILITY 23 ORGANIZATION THAT HAS AN APPROVED PRODUCER RESPONSIBIL ITY PLAN ON FILE 24 WITH THE DEPARTMENT SHALL REPO RT ANNUALLY TO THE DEPARTMENT ON THE 25 PROGRESS TOWARD MEET ING PLAN REQUIREMENT S AND GOALS FOR THE 26 IMMEDIATELY PRECEDIN G CALENDAR YEAR . 27 (B) THE REPORT REQUIRED U NDER SUBSECTION (A) OF THIS SECTION 28 SHALL INCLUDE : 29 (1) A DETAILED DESCRIPTION OF THE REIMBURSEMENT METHODS 30 USED FOR COLLECTING , TRANSPORTING , AND PROCESSING PACKA GING 31 MATERIALS; 32 (2) (I) THE STATUS ON ACHIEVI NG THE PERFORMANCE G OALS 33 ESTABLISHED UNDER § 9–2504(B)(3) § 9–2504(C)(3) OF THIS SUBTITLE; AND 34 SENATE BILL 222 33 (II) IF THE GOALS HAVE NOT BEEN ACHIEVED , A DESCRIPTION 1 OF THE ACTIONS PROPO SED TO ACHIEVE THE G OALS; 2 (3) THE AMOUNT OF EACH PA CKAGING MATERIAL TYP E COLLECTED 3 IN THE STATE, INCLUDING THE METHOD OF DISPOSITION OF EACH PACKAGING 4 MATERIAL TYPE ; 5 (4) (I) THE NUMBER OF BEVERAG E CONTAINERS SOLD IN THE 6 STATE AND THE NUMBER COLLECTED, BY MATERIAL TYPE ; 7 (II) THE OVERALL REDEMPTIO N RATE AND EFFECTIVE RATE OF 8 RECYCLING OF BEVERAG E CONTAINERS BY MATE RIAL TYPE, AFTER SUBTRACTING 9 CONTAMINATION RATES , AND BY NUMBER OF UNI TS AND WEIGHT ; AND 10 (III) 1. A DESCRIPTION OF THE L OCATION OF COLLECTIO N 11 FACILITIES OR POINTS AND SORTING AND PROC ESSING FACILITIES FO R BEVERAGE 12 CONTAINERS; 13 2. A DESCRIPTION OF ANY IMPROVEMENTS MADE IN THE 14 REPORTING YEAR TO IN CREASE THE EASE AND CONVENIENCE FOR CONS UMERS TO 15 RETURN BEVERAGE CONT AINERS; 16 3. A DESCRIPTION OF UNDER SERVED AREAS AND 17 ACTIONS THAT WILL BE TAKEN BY THE PRODUCE R RESPONSIBILITY ORG ANIZATION 18 TO IMPROVE THE AVAILABILITY OF COLL ECTION FACILITIES OR POINTS IN 19 UNDERSERVED AREAS ; AND 20 4. ANY OTHER INFORMATION ON BEVERAGE 21 CONTAINERS REQUIRED BY THE DEPARTMENT ; 22 (5) (4) THE TOTAL COST OF IMP LEMENTING THE PLAN , AS 23 DETERMINED BY AN IND EPENDENT FINANCIAL A UDITOR INCLUDING : 24 (I) A COPY OF THE WORK PRO DUCT OF THE INDEPEND ENT 25 FINANCIAL AUDITOR ; AND 26 (II) FINANCIAL STATEMENTS DETAILING ALL PAYMEN TS 27 RECEIVED AND ISSUED BY THE PRODUCERS COV ERED UNDER THE APPRO VED PLAN; 28 (6) (5) SAMPLES OF ALL EDUCAT IONAL MATERIALS PROV IDED TO 29 CONSUMERS OR OTHER E NTITIES; 30 (7) (6) A DETAILED DESCRIPTION OF THE ACTIONS TAKEN AND AN 31 EVALUATION OF THE ME THODS USED TO DISSEM INATE EDUCATIONAL MA TERIALS, 32 34 SENATE BILL 222 INCLUDING RECOMMENDA TIONS, IF ANY, FOR HOW THE EDUCATIO NAL COMPONENT 1 OF THE PLAN CAN BE I MPROVED; 2 (8) (7) A DETAILED DESCRIPTION OF INVESTMENTS MADE IN 3 MARKET DEVELOPMENT A ND FOR IMPROVING REU SE, ORGANICS RECYCLING , AND 4 RECYCLING INFRASTRUC TURE; 5 (9) (8) PROOF OF A THIRD –PARTY AUDIT OF: 6 (I) THE REDUCTION IN PACK AGING REPORTED ; 7 (II) THE DATA USED TO DETE RMINE THE STATUS OF ACHIEVING 8 PERFORMANCE GOALS ; 9 (III) THE AMOUNT OF EACH PA CKAGING MATERIAL TYP E 10 COLLECTED IN THE STATE; AND 11 (IV) THE NUMBER OF BEVERAG E CONTAINERS SOLD , 12 COLLECTED, AND REDEEMED IN THE STATE; AND 13 (V) THE OVERALL REDEMPTIO N RATE AND RECYCLING RATE OF 14 BEVERAGE CONTAINERS IN THE STATE; AND 15 (10) (9) ANY OTHER INFORMATION AS REQUIRED BY THE 16 DEPARTMENT . 17 (C) WHEN PROVIDING THE DEPARTMENT WITH THE ANNUAL REPO RT 18 REQUIRED UNDER THIS SECTION, A PRODUCER RESPONSIB ILITY ORGANIZATION 19 SHALL PAY TO THE DEPARTMENT THE DEPARTMENT ’S ESTIMATED COSTS OF 20 ADMINISTERING , OVERSEEING, AND ENFORCING THE PL AN FOR THE 1 YEAR 21 IMMEDIATELY FOLLOWIN G THE ANNUAL REP ORT. 22 (D) FINANCIAL, PRODUCTION , OR SALES DATA REPORT ED TO THE 23 DEPARTMENT BY A PRODU CER RESPONSIBILITY O RGANIZATION SHALL BE KEPT 24 CONFIDENTIAL BY THE DEPARTMENT AND MAY NO T BE SUBJECT TO PUBL IC 25 INSPECTION. 26 (E) SUBJECT TO SUBSECTION (D) OF THIS SECTION, THE REPORT SHALL BE 27 POSTED ON THE WEBSIT E OF THE DEPARTMENT AND THE PR ODUCER 28 RESPONSIBILITY ORGAN IZATION. 29 9–2508. 30 SENATE BILL 222 35 ANY PERSON PARTICIPAT ING IN A PRODUCER RE SPONSIBILITY PLAN IN 1 COMPLIANCE WITH THIS SUBTITLE IS IMMUNE F ROM LIABILITY UNDER STATE LAW 2 RELATING TO ANTITRUST AND RESTRAINT OF TRADE F OR ANY COOPERATED 3 ACTIVITIES ARISING O UT OF THE RECYCLING , REUSE, AND DISPOSAL OF PACK AGING 4 MATERIALS. 5 9–2509. 6 THE DEPARTMENT SHALL ADOP T REGULATIONS TO CAR RY OUT THIS 7 SUBTITLE. 8 9–2510. 9 (A) EXCEPT AS OTHERWISE PROVIDED UNDER SUBSE CTIONS (B) AND (C) OF 10 THIS SECTION, THE PROVISIONS OF §§ 9–334 THROUGH 9–344 OF THIS TITLE APPLY 11 TO ENFORCE VIOLATION S OF: 12 (1) THIS SUBTITLE; 13 (2) ANY REGULATION ADOPTE D UNDER THIS SUBTITL E; OR 14 (3) ANY ORDER ISSUED UNDE R THIS SUBTITLE. 15 (B) (1) A PRODUCER OR PRODUCER RESPONSIBILITY ORGAN IZATION 16 THAT VIOLATES THIS S UBTITLE IS SUBJECT T O: 17 (I) FOR A FIRST VIOLATION , A CIVIL AN ADMINISTRATIVE 18 PENALTY OF $5,000; 19 (II) FOR A SECOND VIOLATIO N, A CIVIL AN ADMINISTRATIVE 20 PENALTY OF $10,000; AND 21 (III) FOR A THIRD AND SUBSE QUENT VIOLATION , A CIVIL 22 PENALTY OF $20,000. 23 (2) A PENALTY MAY NOT BE I MPOSED ON A PRODUCER UNDER THIS 24 SECTION UNLESS : 25 (I) THE DEPARTMENT FIRST ISSU ES A WRITTEN NOTICE OF 26 VIOLATION TO THE PRO DUCER; AND 27 (II) THE VIOLATION IS NOT CORRECTED WITHIN 60 DAYS OF 28 RECEIPT OF THE WRITT EN NOTICE. 29 36 SENATE BILL 222 (3) AFTER THE 60–DAY PERIOD SPECIFIED UNDER PARAGRAPH (2) 1 OF THIS SUBSECTION , EACH DAY THAT A VIOL ATION CONTINUES IS A SEPARATE 2 VIOLATION. 3 (C) IF, BASED ON THE A NNUAL REPORT SUBMITT ED UNDER § 9–2507 OF 4 THIS SUBTITLE, THE PERFORMANCE GOAL S ESTABLISHED UNDER § 9–2504(B)(3) § 5 9–2504(C)(3) OF THIS SUBTITLE HAV E NOT BEEN ACHIEVED , THE DEPARTMENT MAY 6 IMPOSE AN ADMINISTRA TIVE PENALTY, NOT TO EXCEED $5,000 $250,000, ON THE 7 PRODUCER RESPONSIBIL ITY ORGANIZATION . 8 (D) ANY PENALTY COLLECTED BY THE DEPARTMENT UNDER THIS SECTION 9 SHALL BE PAID INTO T HE STATE RECYCLING TRUST FUND ESTABLISHED UNDE R § 10 9–1707 OF THIS TITLE. 11 SECTION 2. AND BE IT FURTHER ENACTED, That, on or before December 1, 12 2024, each local government in the State shall file a feasibility plan with the Department 13 of the Environment that prioritizes the sale of recycled packaging materials back to 14 manufacturers that have a manufacturing facility in the State. 15 SECTION 3. AND BE IT FURTHER ENACTED, That the terms of the initial 16 members of the producer responsibility plan advisory council shall expire as follows: 17 (1) five members in 2024; 18 (2) five members in 2025; 19 (3) five members in 2026; and 20 (4) the remaining members in 2027. 21 SECTION 2. AND BE IT FURTHER ENACTED, That: 22 (a) In this section, “advisory council” and “producer” have the meanings stated in 23 § 9–2501 of the Environment Article, as enacted under Section 1 of this Act. 24 (b) (1) The Office of Recycling in the Department of the Environment shall 25 procure a statewide recycling needs assessment in accordance with this section. 26 (2) The Office shall hire an independent consultant to conduct a statewide 27 recycling needs assessment that includes: 28 (i) an analysis of the State’s current solid waste streams, including: 29 1. solid waste generated in the State by local jurisdiction, 30 type, and material; 31 SENATE BILL 222 37 2. disposal methods by material type and amount; and 1 3. associated costs and revenues for solid waste disposal 2 programs; 3 (ii) an analysis of the State’s current recycling streams, including: 4 1. recyclable materials processed by local jurisdiction, type, 5 and amount; 6 2. processing methods by material type and amount; 7 3. associated costs and revenues for recycling programs, 8 collection, and tipping fees; and 9 4. an estimate of the amount of recyclable materials that are 10 not currently being recycled; 11 (iii) an evaluation of the current infrastructure and capacity related 12 to, need for, and associated costs of: 13 1. recycling access and availability; 14 2. collecting and hauling recyclable or compostable materials 15 in the State; 16 3. processing recyclable or compostable materials in the 17 State; 18 4. taking advantage of favorable market conditions or other 19 opportunities for increasing recycling or organics recycling in the State; 20 5. in coordination with local governments, consumer 21 education regarding recycling, organics recycling, and contamination reduction; 22 6. reuse infrastructure; and 23 7. organics recycling infrastructure; 24 (iv) an evaluation of commingled recycling processing facility worker 25 conditions, wages, and benefits; 26 (v) an evaluation of opportunities in the recycling system for women 27 and minority individuals; 28 (vi) an evaluation of local government requirements related to 29 multifamily and commercial recycling services and their implementation; 30 38 SENATE BILL 222 (vii) the sufficiency of recycling education programs relative to desired 1 equity outcomes; 2 (viii) an evaluation of the economic opportunities in the State’s 3 recycling system, including: 4 1. State and local revenue that may be considered lost because 5 recyclable materials are not being recycled; 6 2. current jobs associated with the solid waste and recycling 7 industries; 8 3. opportunities to increase employment in the recycling 9 industry by material type; 10 4. business opportunities associated with recycling; 11 5. barriers to increasing the use of recyclable materials as 12 feedstock for principal processors and manufacturers and means of eliminating those 13 barriers; and 14 6. recommendations for incentives to stimulate job growth 15 and business opportunities in the State’s recycling industry; 16 (ix) recommendations for improving equity and equitable outcomes 17 for underserved populations in the State’s recycling system; 18 (x) an analysis of the costs and benefits of implementing an extended 19 producer responsibility program, including to: 20 1. local governments; 21 2. waste producers; 22 3. residents; and 23 4. waste management companies; 24 (xi) an analysis of the potential environmental impact of an extended 25 producer responsibility program, including through: 26 1. increased recycling; 27 2. resource recovery; 28 3. waste reduction; and 29 SENATE BILL 222 39 4. reduced environmental damage; and 1 (xii) recommendations on the best practices to follow from successful 2 extended producer responsibility programs in other states and countries. 3 (c) On or before July 30, 2024, the Office shall report on the results of the 4 assessment conducted under this section to the Governor and, in accordance with § 2–1257 5 of the State Government Article, the General Assembly. 6 (d) In conducting the assessment required under this section, the independent 7 consultant shall consult with the advisory council, appropriate local governmental entities, 8 and regional solid waste organizations and producers in the State. 9 SECTION 2. 4. 3. AND BE IT FURTHER ENACTED, That this Act shall take effect 10 October July 1, 2023. 11 Approved: ________________________________________________________________________________ Governor. ________________________________________________________________________________ President of the Senate. ________________________________________________________________________________ Speaker of the House of Delegates.