Bill > A2281

Introduced Session

The proposed "Smart Container Act" would require a 10-cent deposit on all plastic and glass bottles and aluminum cans (other than refillable containers) less than 24 oz. and a 20-cent deposit on such beverage containers over 24 oz. up to 3 liters. The proposal would include juice, sports drinks, and bottled waters as well as soda, wine and beer containers. All such containers would be identified by so-called smart bar coding technology. Under a conventional deposit and refund system, the distributor initiates the deposit by collecting the refund value of each empty beverage container from the retailer when the full containers are delivered to the retail establishment. The retailer collects the deposit from the consumer when the container is sold and refunds the deposit to the consumer when the empty container is returned. The distributor refunds the deposit paid by the retailer when the empty containers are picked up from the retailer. Under the Smart Container Act, the distributor would pay the initial deposit on each full beverage container to be sold in New Jersey to the State Treasurer on a quarterly basis. The retailer would collect the deposit from the consumer when the beverage is sold and reimburse the distributor. The Smart Container Act would authorize the Department of Environmental Protection (DEP) to license and regulate the establishment of privately-owned and operated beverage container redemption centers, where consumers and retailers could bring empty containers for refund. The redeemed containers would be the property of the redemption center or the retailer accepting the returned empty containers, as the case may be, and would be available for sale to interested parties at market prices. Retailers would be required to accept up to 24 empty beverage containers per customer per transaction. Every redemption center and retailer would be required to submit a certified monthly report to the State Treasurer detailing the number of containers redeemed, the amount paid out for redeemed containers, and the disposition of redeemed beverage containers. Redemption centers and retailers would be reimbursed by the State Treasurer upon receipt of certified reports of the total number of empty beverage containers redeemed and the amounts paid to those returning empty containers. Under the Smart Container Act, the State Treasurer would be required to report to the DEP on the volume of beverage sales, beverage container redemptions, and unredeemed deposits in New Jersey on a quarterly basis. The proposal's escheat provision requires that 75 percent of the unclaimed deposits would be kept by the State while the other 25 percent would be redistributed proportionately to retailers and redemption centers by the State Treasurer for handling costs, based on the total number of beverage container redeemed as provided in the certified monthly reports. The State's unclaimed deposits would be deposited in an environmental fund to defray the costs of administration, public education and enforcement programs, and to provide grants for various environmental projects, including land preservation, litter cleanup and public area beautification activities.

AI Summary

Committee Categories

Mila Jasey (D)*,  L. Grace Spencer (D)*,  Valerie Vainieri Huttle (D)*,  Ralph Caputo (D),  Reed Gusciora (D),  Elizabeth Muoio (D),  Sheila Oliver (D),  Nancy Pinkin (D), 

Reported out of Asm. Comm. with Amendments, and Referred to Assembly Appropriations Committee (on 04/04/2016)