An act relating to the beverage container redemption system

BILL AS INTRODUCED H.158 2023 Page 1 of 25 VT LEG #364844 v.1 H.158 1 Introduced by Representatives Sheldon of Middlebury, Bongartz of 2 Manchester, Morris of Springfield, Satcowitz of Randolph, and 3 Torre of Moretown 4 Referred to Committee on 5 Date: 6 Subject: Conservation and development; beverage container redemption; 7 extended producer responsibility 8 Statement of purpose of bill as introduced: This bill proposes to expand the 9 scope of beverages subject to the beverage container redemption system to 10 include all drinks in liquid form and intended for human consumption, except 11 for milk, dairy products, plant-based beverages, infant formula, meal 12 replacement drinks, or nonalcoholic cider. The bill would also require all 13 manufacturers and distributors of covered beverages to participate in a 14 producer responsibility organization that shall manage the collection and 15 disposition of beverage containers. In addition, the bill would increase from 16 four cents a container to five cents a container the fee a manufacturer or 17 distributor of a beverage container pays to a retailer or redemption center for 18 redemption of a container of a beverage brand that is not part of a 19 commingling program. 20 BILL AS INTRODUCED H.158 2023 Page 2 of 25 VT LEG #364844 v.1 An act relating to the beverage container redemption system 1 It is hereby enacted by the General Assembly of the State of Vermont: 2 Sec. 1. 10 V.S.A. chapter 53 is amended to read: 3 CHAPTER 53. BEVERAGE CONTAINERS; DEPOSIT-REDEMPTION 4 SYSTEM 5 § 1521. DEFINITIONS 6 As used in this chapter: 7 (1)(A) “Beverage” means beer or other malt beverages and mineral 8 waters, mixed wine drink, soda water and carbonated soft all drinks in liquid 9 form and intended for human consumption, except for milk, dairy products, 10 plant-based beverages, infant formula, meal replacement drinks, or 11 nonalcoholic cider. 12 (B) “Beverage” also means liquor and ready-to-drink spirits 13 beverage. 14 (C) Notwithstanding subdivision (A) of this subdivision (1), 15 “beverage” does not include vinous beverages until January 1, 2027. 16 (2) “Biodegradable material” means material that is capable of being 17 broken down by bacteria into basic elements. 18 (3) “Container” means the individual, and separate, bottle, can, or jar, or 19 carton composed of glass, metal, paper, or plastic, or any combination of those 20 BILL AS INTRODUCED H.158 2023 Page 3 of 25 VT LEG #364844 v.1 materials, and containing a consumer product beverage. This definition shall 1 does not include: 2 (A) containers made of biodegradable material; 3 (B) noncarbonated beverage containers with a volume greater than 4 two and one-half liters and carbonated beverage containers with a volume 5 greater than three liters; or 6 (C) pouches. 7 (4) “Distributor” means every person who engages in the sale of 8 consumer products in containers to a dealer in this State including any 9 manufacturer who engages in such sales. Any dealer or retailer who sells, at 10 the retail level, beverages in containers without having purchased them from a 11 person otherwise classified as a distributor, shall be is a distributor. 12 (5) “Manufacturer” means every person bottling, canning, packing, or 13 otherwise filling containers for sale to distributors or dealers. 14 (6) “Recycling” means the process of sorting, cleansing, treating, and 15 reconstituting waste and other discarded materials for the purpose of reusing 16 the materials in the same or altered form. 17 (7) “Redemption center” means a store or other location where any 18 person may, during normal business hours, redeem the amount of the deposit 19 for any empty beverage container labeled or certified pursuant to section 1524 20 of this title. 21 BILL AS INTRODUCED H.158 2023 Page 4 of 25 VT LEG #364844 v.1 (8) “Secretary” means the Secretary of Natural Resources. 1 (9) “Mixed wine drink” means a beverage containing wine and more 2 than 15 percent added plain, carbonated, or sparkling water; and that contains 3 added natural or artificial blended material, such as fruit juices, flavors, 4 flavoring, adjuncts, coloring, or preservatives; that contains not more than 5 16 percent alcohol by volume; or other similar product marketed as a wine 6 cooler. 7 (10) “Liquor” means spirits as defined in 7 V.S.A. § 2. 8 (11) “Cider” has the same meaning as in 7 V.S.A. § 2. 9 (12) “Plant-based beverage” means a liquid intended for human 10 consumption that imitates dairy milk, consists of plant material suspended in 11 water, and the primary protein source in the beverage is from plant material or 12 a derivative of plant materials. Plant-based beverages include beverages made 13 from rice, soy, nuts, oats, and hemp. 14 (13) “Ready-to-drink spirit beverage” has the same meaning as in 7 15 V.S.A. § 2. 16 (14) “Vinous beverages” means all fermented beverages of any name or 17 description manufactured or obtained for sale from the natural sugar content of 18 fruits or other agricultural product, containing sugar, the total alcoholic content 19 of which is not less than one percent nor more than 16 percent by volume at 60 20 BILL AS INTRODUCED H.158 2023 Page 5 of 25 VT LEG #364844 v.1 degrees Fahrenheit. As used in this section, “vinous beverages” does not mean 1 cider. 2 § 1522. BEVERAGE CONTAINERS; DEPOSIT 3 (a) Except with respect to beverage containers that contain liquor, a deposit 4 of not less than five cents shall be paid by the consumer on each beverage 5 container sold at the retail level and refunded to the consumer upon return of 6 the empty beverage container. With respect to beverage containers of volume 7 greater than 50 ml. that contain liquor, a deposit of 15 cents shall be paid by 8 the consumer on each beverage container sold at the retail level and refunded 9 to the consumer upon return of the empty beverage container. The difference 10 between liquor bottle deposits collected and refunds made is hereby retained 11 by the Liquor Control Enterprise Fund for administration of this subsection. 12 (b) A retailer or a person operating a redemption center who redeems 13 beverage containers shall be reimbursed by the manufacturer or distributor of 14 such beverage containers in an amount that is three and one-half cents per 15 container for containers of beverage brands that are part of a commingling 16 program and four five cents per container for containers of beverage brands 17 that are not part of a commingling program. 18 (c) [Repealed.] 19 (d) Containers shall be redeemed during no fewer than 40 hours per week 20 during the regular operating hours of the establishment. 21 BILL AS INTRODUCED H.158 2023 Page 6 of 25 VT LEG #364844 v.1 § 1522a. RULES 1 The Secretary may adopt rules, in accordance with 3 V.S.A. chapter 25, 2 necessary for the administration of this chapter. These rules may include the 3 following: 4 (1) Provisions to ensure that beverage containers not labeled in 5 accordance with section 1524 of this title are not redeemed. 6 (2) Provisions to ensure that beverage containers are commingled. 7 (3) Administrative penalties for the failure by a redemption center or 8 retailer to remove beverage containers that are not labeled prior to pickup by a 9 distributor or manufacturer. Penalties may include nonpayment of the deposit 10 and handling fee established under section 1522 of this title for a reasonable 11 period of time and for the number of beverage containers that were not labeled. 12 (4) Any other provision that may be necessary for the implementation of 13 this chapter. [Repealed.] 14 § 1523. ACCEPTANCE OF BEVERAGE CONTAINERS 15 (a) Except as provided in section 1522 of this title: 16 (1) A retailer shall not refuse to accept from any person any empty 17 beverage containers, labeled in accordance with section 1524 of this title, of 18 the kind, size, and brand sold by the retailer, or refuse to pay to that person the 19 refund value of a beverage container as established by section 1522 of this 20 title, except as provided in subsection (b) of this section. 21 BILL AS INTRODUCED H.158 2023 Page 7 of 25 VT LEG #364844 v.1 (2) A manufacturer or distributor may not refuse to pick up from a 1 retailer that sells its product or a person operating a certified redemption center 2 any empty beverage containers, labeled in accordance with section 1524 of this 3 title, of the kind, size, and brand sold by the manufacturer or distributor, or 4 refuse to pay the retailer or a person operating a redemption center the refund 5 value of a beverage container as established by section 1522 of this title. 6 (b) A retailer, with the prior approval of the Secretary, may refuse to 7 redeem beverage containers if a redemption center or centers are established 8 that serve the public need stewardship plan that meets the requirements of 9 section 1532 of this title has been implemented by a producer responsibility 10 organization in the State and the retailer’s building is less than 5,000 square 11 feet. 12 (c) A retailer or a person operating a redemption center may refuse to 13 redeem beverage containers that are not clean, or are broken, and shall not 14 redeem beverage containers that are not labeled in accordance with 15 section 1524 of this title. 16 § 1524. LABELING 17 (a) Every beverage container sold or offered for sale at retail in this State 18 shall clearly indicate by embossing or, imprinting on the normal product label, 19 or in the case of a metal beverage container on the top of the container, other 20 approved method secured to the container the word “Vermont” or the letters 21 BILL AS INTRODUCED H.158 2023 Page 8 of 25 VT LEG #364844 v.1 “VT” and the refund value of the container in not less than one-eighth inch 1 type size or such other alternate indications as may be approved by the 2 Secretary. The label shall be on the top lid of the beverage container, the side 3 of the beverage container, or in a clearly visible location of the beverage 4 container. This subsection does not prohibit including names or abbreviations 5 of other states with deposit legislation comparable to this chapter. 6 (b) Each beverage container sold or offered for sale in the State that has a 7 deposit pursuant to section 1522 of this title shall include a Universal Product 8 Code and barcode. Each distributor shall provide the Universal Product Code 9 and barcode as part of its beverage registration or within 60 days of March 1, 10 2025, whichever occurs first. 11 (c) The Commissioner of Liquor and Lottery may allow, in the case of 12 liquor bottles, a conspicuous, adhesive sticker to be attached to indicate the 13 deposit information required in subsection (a) of this section, provided that the 14 size, placement, and adhesive qualities of the sticker are as approved by the 15 Commissioner. The stickers shall be affixed to the bottles by the 16 manufacturer, except that liquor that is sold in the State in quantities less than 17 100 cases per year may have stickers affixed by personnel employed by the 18 Division of Liquor Control. 19 (c)(d) This section shall not apply to permanently labeled beverage 20 containers. 21 BILL AS INTRODUCED H.158 2023 Page 9 of 25 VT LEG #364844 v.1 * * * 1 § 1527. PENALTY 2 A person who violates a provision of this chapter shall be fined not more 3 than $1,000.00 for each violation. [Repealed.] 4 § 1528. BEVERAGE REGISTRATION 5 No distributor or manufacturer shall sell a beverage container in the State of 6 Vermont without the manufacturer registering the beverage container with the 7 Agency of Natural Resources prior to sale, registering 30 days in advance of 8 initiating sale of the beverage container and participating in a stewardship plan 9 approved by the Secretary unless distributed by the Department of Liquor and 10 Lottery. This registration shall take place on a form provided by the Secretary 11 and include the following: 12 (1) the name and principal business address of the manufacturer; 13 (2) the name of the beverage and the container size; 14 (3) whether the beverage is a part of an approved commingling 15 agreement; and 16 (4) the name of the person picking up the empty beverage container, if 17 that person is different from the manufacturer. 18 § 1529. REDEMPTION CENTER CERTIFICATION 19 A person operating a redemption center may obtain a certification from the 20 Secretary. A redemption center certification shall include the following: 21 BILL AS INTRODUCED H.158 2023 Page 10 of 25 VT LEG #364844 v.1 (1) Specification of the name and location of the facility;. 1 (2) If the certified redemption center redeems more than 250,000 2 containers per year, a requirement that the certified redemption center shall 3 participate in an approved commingling agreement; and 4 (3) Additional conditions, requirements, and restrictions as the Secretary 5 may deem necessary to implement the requirements of this chapter. This may 6 include requirements concerning reporting, recording, and inspections of the 7 operation of the site. 8 * * * 9 § 1531. MANUFACTURER PARTICIPATION IN PRODUCER 10 RESPONSIBILITY ORGANIZATION 11 (a) No manufacturer or distributor may sell or distribute a beverage 12 container in this State without participating in a Secretary-approved producer 13 responsibility organization. 14 (b) On or before January 1, 2024, a manufacturer or manufacturers 15 representing at least 51 percent of the beverage containers sold or distributed 16 within the State may apply to the Secretary to form a producer responsibility 17 organization. 18 (c) The Secretary may approve, for a period not longer than 10 years, a 19 producer responsibility organization, provided that: 20 BILL AS INTRODUCED H.158 2023 Page 11 of 25 VT LEG #364844 v.1 (1) the producer responsibility organization has the capacity to 1 administer the requirements of a stewardship plan required by section 1532 of 2 this title; and 3 (2) the producer responsibility organization does not create any 4 unreasonable barriers to joining the producer responsibility organization and 5 shall take into the consideration the needs of small manufacturers that do not 6 generate a significant volume of containers. 7 (d) After approval, a producer responsibility organization shall maintain a 8 website that identifies: 9 (1) the name and principal business address of each manufacturer 10 participating in the producer responsibility organization; and 11 (2) the name of each beverage and the container size covered by the 12 stewardship plan. 13 (e) If a producer responsibility organization fails to implement the 14 requirements of this chapter, the rules adopted by the Secretary, or an approved 15 stewardship plan, the Secretary may dissolve the producer responsibility 16 organization. 17 (f) If no producer responsibility organization is formed, the Secretary may 18 require the formation of a producer responsibility organization or adopt and 19 administer a plan that meets the requirements of section 1532 of this title. If 20 the Secretary administers the plan adopted under section 1532, the Secretary 21 BILL AS INTRODUCED H.158 2023 Page 12 of 25 VT LEG #364844 v.1 shall charge each manufacturer the costs of plan administration, the Agency’s 1 oversight costs, and a recycling market development assessment of 10 percent 2 of the plan’s total cost to be deposited Waste Management Assistance Fund, 3 Solid Waste Account for the purpose of providing grants to develop markets to 4 recycle materials. 5 (g) The producer responsibility organization shall reimburse the Agency of 6 Natural Resources for all oversight costs in administering this chapter. 7 § 1532. STEWARDSHIP PLAN; MINIMUM REQUIREMENTS 8 (a) Plan elements. On or before October 1, 2024, an approved producer 9 responsibility organization shall submit a stewardship plan to the Secretary. A 10 stewardship plan shall, at a minimum, meet all of the following the 11 requirements of this section: 12 (1) Convenience of collection. A plan shall ensure that consumers have 13 convenient opportunities to redeem beverage containers. The plan shall take 14 reasonable efforts to site points of collection in areas with high population 15 density or located in centers designated under 24 V.S.A. chapter 76A. A plan 16 shall document how redemption services will be available to consumers as 17 follows: 18 (A) at least three points of redemption per county that provide an 19 immediate return of a deposit to a consumer unless a waiver is granted by the 20 Secretary; 21 BILL AS INTRODUCED H.158 2023 Page 13 of 25 VT LEG #364844 v.1 (B) at least one point of redemption per municipality with a 1 population of 7,000 or more persons that provides an immediate return of a 2 deposit to a consumer unless a waiver is granted by the Secretary; and 3 (C) statewide coverage of points of redemption so that consumers are 4 not required to drive more than 15 minutes unless a waiver is granted by the 5 Secretary. 6 (2) Fair operation and compensation to redemption centers. The plan 7 shall satisfy all of the following requirements. 8 (A) The plan shall describe how all locations that redeem beverage 9 containers are fairly compensated for their participation in the collection 10 program. 11 (B) There shall not be barriers to the participation in the collection 12 program for a redemption center, except for restrictions that are authorized by 13 the Secretary, by rule. 14 (C) The plan shall describe how management and sorting of 15 containers at redemption centers is minimized. The plan shall document how 16 brand sorting will be eliminated at points of redemption. 17 (D) The plan shall describe how materials will be picked up from 18 redemption centers on a timely basis. 19 (E) The plan shall maximize the use of existing infrastructure when 20 establishing points of collection under subdivision (a)(1) of this section. 21 BILL AS INTRODUCED H.158 2023 Page 14 of 25 VT LEG #364844 v.1 (3) Impacts to municipal recycling. The plan shall propose a protocol 1 for documenting the amount of materials collected under the plan that are 2 processed and marketed by solid waste management entities, including at 3 materials recovery facilities, and shall propose a compensation formula for 4 glass-, plastic-, and aluminum-covered beverage containers that are made 5 usable as recycled commodities. 6 (4) Education to consumers. The plan shall describe what education 7 efforts will be undertaken to increase the number of beverage containers 8 redeemed in the State. 9 (5) Consultation with stakeholders. The producer responsibility 10 organization shall consult with stakeholders on the development of the plan. 11 The plan shall include processes for regular consultation, which shall be not 12 less than annually, with stakeholders including the Agency, redemption 13 centers, municipal and private recycling organizations, and other stakeholders. 14 (b) Reporting. At a frequency required by the Secretary but not less than 15 annually, the producer responsibility organization shall report the following to 16 the Secretary: 17 (1) the name, address, and business hours of each redemption center 18 participating in the approved stewardship plan; 19 (2) the amount, in containers and tons, and material type of beverage 20 containers redeemed under the plan; 21 BILL AS INTRODUCED H.158 2023 Page 15 of 25 VT LEG #364844 v.1 (3) the location and amount of beverage container material that was 1 recycled and what products that beverage container material was recycled into; 2 (4) the carbon impacts associated with the administration of the 3 stewardship plan; 4 (5) the costs associated with administration of the stewardship plan, 5 including the costs of collection, management, and transportation of redeemed 6 containers and the amount received for commodities; 7 (6) a description of any improvements made in the reporting year to 8 increase ease and convenience for consumers to return beverage containers for 9 redemption; 10 (7) efforts taken by or on behalf of the distributor to reduce 11 environmental impacts throughout the product life cycle and to increase 12 reusability or recyclability at the end of the life cycle by material type; 13 (8) efforts taken by or on behalf of the producer responsibility 14 organization to improve the environmental outcomes of the program by 15 improving operational efficiency, such as reduction of truck trips through 16 improved material handling or compaction or the increased use of refillable 17 containers in a local refilling system; 18 (9) a description and copies of educational materials and educational 19 strategies the producer uses for the purposes of this program; and 20 (10) any additional information required by the Secretary. 21 BILL AS INTRODUCED H.158 2023 Page 16 of 25 VT LEG #364844 v.1 (c) Secretary of Natural Resources approval. The plan shall be submitted 1 to the Secretary, and, after concluding that the elements of the plan will 2 maximize diversion of recyclable materials, provide convenience to users, and 3 create a more circular economy, the Secretary’s approval pursuant to this 4 subsection shall be for a period not greater than five years. 5 § 1533. PROGRAM AND FISCAL AUDIT 6 (a) Program audit. Every five years, the producer responsibility 7 organization shall conduct an independent third-party program audit of the 8 operation of the stewardship plan. The audit shall make recommendations to 9 improve the operation of the collection program established by this chapter. 10 (b) Fiscal audit. Annually, the producer responsibility organization shall 11 conduct an independent third-party fiscal audit of the program. The fiscal 12 audit shall provide a transparent fiscal analysis of the producer responsibility 13 organization, its expenditures, the number of beverage containers collected, 14 and the amount of unclaimed deposits. The audit shall also provide the 15 redemption rate of beverage containers redeemed in the State after approval by 16 the Secretary. 17 § 1534. BEVERAGE CONTAINER REDEMPTION RATE GOAL; 18 REPORT 19 (a) It is a goal of the State that the following minimum beverage container 20 redemption rates shall be satisfied by the specified dates: 21 BILL AS INTRODUCED H.158 2023 Page 17 of 25 VT LEG #364844 v.1 (1) Beginning on July 1, 2026: 75 percent. 1 (2) Beginning on July 1, 2030: 80 percent. 2 (3) Beginning on July 1, 2035: 85 percent. 3 (4) Beginning on July 1, 2050: 90 percent. 4 (b) Beginning on July 1, 2025 and every five years thereafter, the Secretary 5 of Natural Resources shall submit to the Senate Committees on Natural 6 Resources and Energy and on Finance and the House Committees on 7 Environment and Energy and on Ways and Means a written report containing: 8 (1) the current beverage container redemption rate in the State; and 9 (2) a recommendation of whether the beverage container deposit should 10 be increased to improve redemption of beverage containers. 11 § 1535. RULEMAKING 12 The Secretary may adopt rules, in accordance with 3 V.S.A. chapter 25, 13 necessary for the administration of this chapter. 14 Sec. 2. 10 V.S.A. § 1530(c)(1) is amended to read: 15 (c)(1) On or before January 1, 2020, and quarterly thereafter, Every quarter, 16 at the time a report is filed pursuant to subsection (d) of this section, each 17 deposit initiator shall remit to the Commissioner of Taxes any 50 percent of the 18 abandoned beverage container deposits from the preceding quarter. The 19 remaining 50 percent of the abandoned beverage container deposits shall be 20 retained by the producer responsibility organization implementing the 21 BILL AS INTRODUCED H.158 2023 Page 18 of 25 VT LEG #364844 v.1 requirements of this chapter for the deposit initiator. The amount of 1 abandoned beverage container deposits for a quarter is the amount equal to the 2 amount of deposits that the deposit initiator collected in the quarter less the 3 amount of the total refund value paid out by the deposit initiator for beverage 4 containers during the quarter. 5 Sec. 3. 10 V.S.A. § 1530(c)(1) is amended to read: 6 (c)(1) Every quarter, at the time a report is filed pursuant to subsection (d) 7 of this section, each deposit initiator shall remit to the Commissioner of Taxes 8 50 percent of the any abandoned beverage container deposits from the 9 preceding quarter. The remaining 50 percent of the abandoned beverage 10 container deposits shall be retained by the producer responsibility organization 11 implementing the requirements of this chapter for the deposit initiator. The 12 amount of abandoned beverage container deposits for a quarter is the amount 13 equal to the amount of deposits that the deposit initiator collected in the quarter 14 less the amount of the total refund value paid out by the deposit initiator for 15 beverage containers during the quarter. 16 Sec. 4. 10 V.S.A. § 7714 is amended to read: 17 § 7714. TYPE 3 PROCEDURES 18 (a) Purpose; scope. 19 (1) The purpose of this section is to establish the public notice and 20 comment requirements that the Department must follow when adopting general 21 BILL AS INTRODUCED H.158 2023 Page 19 of 25 VT LEG #364844 v.1 permits, except for general permits governed by section 7712 of this chapter, 1 and when considering other permits listed in this section. 2 (2) The procedures under this section shall be known as Type 3 3 Procedures. This section governs each of the following: 4 (A) Each general permit issued pursuant to the Secretary’s authority 5 under this title other than a general permit subject to section 7712 of this 6 chapter. However, this section does not apply to a notice of intent under a 7 general permit. 8 (B) Issuance of a dam safety order under chapter 43 of this title, 9 except for an unsafe dam order under section 1095 of this title. 10 (C) An application or request for approval of: 11 (i) an aquatic nuisance control permit under chapter 50 of this 12 title; 13 (ii) a change in treatment for a public water supply under chapter 14 56 of this title; 15 (iii) a collection plan for mercury-containing lamps under section 16 7156 of this title; 17 (iv) an individual plan for the collection and recycling of 18 electronic waste under section 7554 of this title; and 19 (v) a primary battery stewardship plan under section 7586 of this 20 title; and 21 BILL AS INTRODUCED H.158 2023 Page 20 of 25 VT LEG #364844 v.1 (vi) approval of a stewardship plan required under chapter 53 of 1 this title. 2 (b) Notice of application. The Secretary shall provide notice of an 3 administratively complete application through the environmental notice 4 bulletin. 5 (c) Notice of draft decision; comment period. The Secretary shall provide 6 notice of the draft decision through the environmental notice bulletin and shall 7 post the draft decision to the bulletin. The Secretary shall provide a public 8 comment period. 9 (d) Public meeting. The Secretary shall hold a public meeting whenever 10 any person files a written request for such a meeting. The Secretary otherwise 11 may hold a public meeting at his or her the Secretary’s discretion. 12 (e) Notice of final decision. The Secretary shall provide notice of the final 13 decision through the environmental notice bulletin and shall post the final 14 decision to the bulletin. The Secretary shall provide a response to comments. 15 Sec. 5. 10 V.S.A. § 1388 is amended to read: 16 § 1388. CLEAN WATER FUND 17 (a) There is created a special fund to be known as the Clean Water Fund to 18 be administered by the Secretary of Administration. The Fund shall consist of: 19 (1) revenues from the Property Transfer Tax surcharge established under 20 32 V.S.A. § 9602a; 21 BILL AS INTRODUCED H.158 2023 Page 21 of 25 VT LEG #364844 v.1 (2) other gifts, donations, and impact fees received from any source, 1 public or private, dedicated for deposit into the Fund and approved by the 2 Secretary of Administration; 3 (3) 50 percent of the unclaimed beverage container deposits (escheats) 4 remitted to the State under chapter 53 of this title; 5 (4) six percent of the revenues from the meals and rooms taxes imposed 6 under 32 V.S.A. chapter 225; and 7 (5) other revenues dedicated for deposit into the Fund by the General 8 Assembly. 9 (b) Notwithstanding any contrary provisions of 32 V.S.A. chapter 7, 10 subchapter 5, unexpended balances and any earnings shall remain in the Fund 11 from year to year. 12 Sec. 6. 10 V.S.A. § 6618(a) is amended to read: 13 (a) There is hereby created in the State Treasury a fund to be known as the 14 Waste Management Assistance Fund, to be expended by the Secretary of 15 Natural Resources. The Fund shall have three accounts: one for Solid Waste 16 Management Assistance, one for Hazardous Waste Management Assistance, 17 and one for Electronic Waste Collection and Recycling Assistance. The 18 Hazardous Waste Management Assistance Account shall consist of a 19 percentage of the tax on hazardous waste under the provisions of 32 V.S.A. 20 chapter 237, as established by the Secretary, the toxics use reduction fees 21 BILL AS INTRODUCED H.158 2023 Page 22 of 25 VT LEG #364844 v.1 under subsection 6628(j) of this title, and appropriations of the General 1 Assembly. In no event shall the amount of the hazardous waste tax that is 2 deposited to the Hazardous Waste Management Assistance Account exceed 3 40 percent of the annual tax receipts. The Solid Waste Management 4 Assistance Account shall consist of the franchise tax on waste facilities 5 assessed under the provisions of 32 V.S.A. chapter 151, subchapter 13; 6 50 percent of the unclaimed beverage container deposits remitted to the State 7 under chapter 53 of this title; and appropriations of the General Assembly. 8 The Electronic Waste Collection and Recycling Account shall consist of the 9 program and implementation fees required under section 7553 of this title. All 10 balances in the Fund accounts at the end of any fiscal year shall be carried 11 forward and remain a part of the Fund accounts, except as provided in 12 subsection (e) of this section. Interest earned by the Fund shall be deposited 13 into the appropriate Fund account. Disbursements from the Fund accounts 14 shall be made by the State Treasurer on warrants drawn by the Commissioner 15 of Finance and Management. 16 Sec. 7. SYSTEMS ANALYSIS OF BEVERAGE CONTAINER SYSTEM 17 On or before January 15, 2029, the Agency of Natural Resources shall 18 submit to the House Committee Environment and Energy and the Senate 19 Committee on Natural Resources and Energy a written report on the total 20 BILL AS INTRODUCED H.158 2023 Page 23 of 25 VT LEG #364844 v.1 system costs associated with the implementation of the beverage container 1 redemption system under 10 V.S.A. chapter 53, including climate impacts. 2 Sec. 8. BEVERAGE CONTAINER SCOPE AND IMPLEMENTATION 3 STUDY 4 (a) On or before January 15, 2024, the Secretary of Natural Resources shall 5 submit to the House Committee on Environment and Energy and the Senate 6 Committee on Natural Resources and Energy a written report including all of 7 the following: 8 (1) a recommendation on whether minimum and maximum size limits 9 on containers should be included as part of the beverage container deposit 10 redemption system in 10 V.S.A. chapter 53; 11 (2) a recommended beverage container deposit amount for glass wine 12 bottles; 13 (3) a summary of the logistical and financial impacts of wine bottles on 14 the operation of the beverage container deposit-redemption system and 15 municipal recycling infrastructure; and 16 (4) recommended strategies to aid in the development of markets for the 17 use of recycled glass. 18 (b) The Secretary of Natural Resources shall convene a stakeholder process 19 or processes when developing recommendations required by subsection (a) of 20 BILL AS INTRODUCED H.158 2023 Page 24 of 25 VT LEG #364844 v.1 this section. The process shall include all current stakeholders in the bottle 1 redemption system as well as the nonbottle redemption system. 2 Sec. 9. EFFECTIVE DATES 3 This act shall take effect on July 1, 2023, except that: 4 (1) in Sec. 1, 10 V.S.A. § 1521(1) (expansion of the definition of 5 beverage types) shall take effect on January 1, 2026; 6 (2) in Sec. 1, 10 V.S.A. § 1523 (requiring product registration to take 7 place with the producer responsibility organization) shall take effect on 8 March 1, 2025; 9 (3) in Sec. 1, 10 V.S.A. § 1524(b) (requiring a UPC label on containers) 10 shall take effect on March 1, 2025; 11 (4) in Sec. 1, 10 V.S.A. § 1531(a) (prohibiting the sale or distribution 12 without participating in a producer responsibility organization) shall take effect 13 on March 1, 2025; 14 (5) Sec. 2 (remittance of abandoned beverage container deposits) shall 15 take effect on January 1, 2026; 16 (6) Sec. 3. (repeal of remittance of beverage container deposit) shall take 17 effect on July 1, 2031; 18 (7) Sec. 5 (changing the amount of funds deposited in the Clean Water 19 Fund) shall take effect on July 1, 2031; and 20 BILL AS INTRODUCED H.158 2023 Page 25 of 25 VT LEG #364844 v.1 (8) Sec. 6 (Waste Management Assistance Fund) shall take effect on 1 July 1, 2031. 2