House File 233 - Introduced
HOUSE FILE
BY MASCHER
Passed House, Date Passed Senate, Date
Vote: Ayes Nays Vote: Ayes Nays
Approved
A BILL FOR
1 An Act relating to beverage container control laws and making
2 appropriations.
3 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
4 TLSB 2303HH 81
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PAG LIN
1 1 Section 1. Section 455C.1, subsections 1, 2, 9, and 13,
1 2 Code 2005, are amended to read as follows:
1 3 1. "Beverage" means wine as defined in section 123.3,
1 4 subsection 37, alcoholic liquor as defined in section 123.3,
1 5 subsection 5, beer as defined in section 123.3, subsection 7,
1 6 mineral water, soda water and similar carbonated soft drinks
1 7 and any nonalcoholic carbonated and noncarbonated drinks
1 8 excluding milk and dairy=derived products in liquid form and
1 9 intended for human consumption. "Beverage" shall not include
1 10 any of the following:
1 11 a. A liquid which is any of the following:
1 12 (1) A syrup.
1 13 (2) In a concentrated form.
1 14 (3) Typically added as a minor flavoring ingredient in
1 15 food or drink, such as extracts, cooking additives, sauces, or
1 16 condiments.
1 17 b. A liquid which is ingested in very small quantities and
1 18 which is consumed for medicinal purposes only.
1 19 c. A liquid which is designed and consumed only as a
1 20 nutritional supplement and not as a beverage.
1 21 d. Products frozen at the time of sale to the consumer,
1 22 or, in the case of institutional users such as hospitals and
1 23 nursing homes, at the time of sale to such users.
1 24 e. Products designed to be consumed in a frozen state.
1 25 f. Instant drink powders.
1 26 g. Seafood, meat, or vegetable broths or soups but not
1 27 juices.
1 28 h. Farm=produced apple cider, which has not been heated,
1 29 pasteurized, or otherwise processed.
1 30 2. "Beverage container" means any sealed glass, plastic,
1 31 or metal bottle, can, jar, or carton other container made of
1 32 glass, metal, or plastic containing a beverage which has been
1 33 sealed by a manufacturer.
1 34 9. "Distributor" means any person who engages in the sale
1 35 or distribution of beverages in beverage containers to a
2 1 dealer in this state, including any manufacturer who engages
2 2 in such sales. "Distributor" also means any dealer that
2 3 manufactures or contracts for the manufacture of its own
2 4 beverage for exclusive sale by that dealer.
2 5 13. "Redemption center" means a facility both approved and
2 6 unapproved facilities at which consumers may return empty
2 7 beverage containers and receive payment for the refund value
2 8 of the empty beverage containers.
2 9 Sec. 2. Section 455C.1, Code 2005, is amended by adding
2 10 the following new subsection:
2 11 NEW SUBSECTION. 11A. "Milk and dairy=derived products"
2 12 means whole milk, skim milk, low=fat milk, cream, or any
2 13 combination thereof. "Milk and dairy=derived products" also
2 14 means products of which the single largest ingredient is whole
2 15 milk, milk fat, or milk with varying percentages of milk fat.
2 16 Sec. 3. Section 455C.2, subsection 2, Code 2005, is
2 17 amended to read as follows:
2 18 2. In addition to the refund value provided in subsection
2 19 1 of this section, a dealer, or person operating a redemption
2 20 center who redeems empty beverage containers or a dealer agent
2 21 shall be reimbursed by the distributor required to accept the
2 22 empty beverage containers an amount which is one cent two
2 23 cents per container. A dealer, dealer agent, or person
2 24 operating a redemption center may compact empty metal beverage
2 25 containers with the approval of the distributor required to
2 26 accept the containers.
2 27 Sec. 4. Section 455C.3, subsection 2, Code 2005, is
2 28 amended to read as follows:
2 29 2. A distributor shall accept and pick up from a dealer
2 30 served by the distributor or a redemption center for a dealer
2 31 within the geographic territory served by the distributor at
2 32 least weekly, or when the distributor delivers the beverage
2 33 product if deliveries are less frequent than weekly, any empty
2 34 beverage container of the kind, size, and brand sold by the
2 35 distributor, and. A distributor shall accept and pick up
3 1 beverage containers from a dealer or redemption center within
3 2 seven days of the previous pickup from the same dealer or
3 3 redemption center. A distributor shall pay to the dealer or
3 4 person operating a redemption center the refund value of a
3 5 beverage container and the reimbursement as provided under
3 6 section 455C.2 within one week following pickup of the
3 7 containers or when the dealer or redemption center normally
3 8 pays the distributor for the deposit on beverage products
3 9 purchased from the distributor if less frequent than weekly.
3 10 A distributor or employee or agent of a distributor is not in
3 11 violation of this subsection if a redemption center is closed
3 12 when the distributor attempts to make a regular delivery or a
3 13 regular pickup of empty beverage containers. This subsection
3 14 does not apply to a distributor selling alcoholic liquor to
3 15 the alcoholic beverages division of the department of
3 16 commerce.
3 17 Sec. 5. NEW SECTION. 455C.3A DISTRIBUTOR SEPARATE
3 18 ACCOUNTS.
3 19 1. A distributor subject to the provisions of this chapter
3 20 shall open and maintain a separate account to be known as the
3 21 Iowa refund value account. The account shall be kept separate
3 22 from all other accounts and revenues of the distributor and
3 23 shall be maintained by the distributor on behalf of the
3 24 consumers purchasing a beverage container from a dealer and on
3 25 behalf of the state. Moneys in the account shall not be
3 26 considered income of the distributor and shall be used only to
3 27 pay refund values as required in section 455C.3, subsections 2
3 28 and 4. Any interest earned on the account may be removed from
3 29 the account and may be retained by the distributor.
3 30 2. A distributor shall deposit five cents in the
3 31 distributor's Iowa refund value account for every beverage
3 32 container sold to a dealer in this state. The deposit shall
3 33 be made in a prompt manner following a sale and delivery of a
3 34 beverage container to a dealer.
3 35 3. At the end of each month, the distributor shall
4 1 determine what amount, if any, is equal to the excess of the
4 2 sum of the income earned on the account during that month and
4 3 the total amount deposited in the account during that month
4 4 and the previous two months. Any excess shall be deemed to
4 5 constitute abandoned refund value. By the seventh day of the
4 6 following month, a distributor shall remit any excess to the
4 7 department for deposit in the Robert D. Ray beautiful land
4 8 fund established in section 455C.3B.
4 9 Sec. 6. NEW SECTION. 455C.3B ROBERT D. RAY BEAUTIFUL
4 10 LAND FUND.
4 11 1. The Robert D. Ray beautiful land fund is established in
4 12 the office of the treasurer of state under the control of the
4 13 department. The fund shall consist of any moneys appropriated
4 14 by the general assembly for that purpose and any other moneys
4 15 available to and obtained or accepted by the department for
4 16 placement in the fund. The fund shall also consist of moneys
4 17 received from distributors for deposit pursuant to section
4 18 455C.3A.
4 19 2. Moneys in the fund are appropriated annually as
4 20 follows:
4 21 a. Two hundred fifty thousand dollars to the state
4 22 department of transportation to be used for purposes of the
4 23 adopt=a=highway program administered by the department.
4 24 b. Three hundred fifty thousand dollars to the state board
4 25 of regents for the Iowa waste reduction center for the safe
4 26 and economic management of solid waste and hazardous
4 27 substances established in section 268.4 for purposes of the
4 28 Iowa waste exchange.
4 29 c. The remaining moneys to the department of natural
4 30 resources to be used as follows:
4 31 (1) One=third of the remaining moneys shall be used to
4 32 provide financial assistance to cities, counties, or private
4 33 organizations for purposes of assisting adopt=a=place programs
4 34 designed to address litter collection and prevention.
4 35 (2) One=sixth of the remaining moneys shall be used to
5 1 provide grants to dealers, dealer agents, and persons
5 2 operating a redemption center for purposes of increasing the
5 3 effectiveness, efficiency, and convenience of redemption.
5 4 (3) One=sixth of the remaining moneys shall be used to
5 5 provide grants to cities, counties, or private organizations
5 6 for purposes of awareness, informational, or educational
5 7 programs designed to address litter and illegal dumping
5 8 issues.
5 9 (4) One=sixth of the remaining moneys shall be used to
5 10 provide grants to cities, counties, or private organizations
5 11 for purposes of awareness, informational, or educational
5 12 programs designed to address waste reduction, waste reuse, and
5 13 recycling issues.
5 14 (5) One=sixth of the remaining moneys shall be used to
5 15 provide no=interest loans to cities, counties, or public or
5 16 private organizations for purposes of developing end uses and
5 17 markets for recyclables in the state.
5 18 3. Notwithstanding section 8.33, all moneys in the Robert
5 19 D. Ray beautiful land fund which remain unexpended or
5 20 unobligated at the end of each fiscal year shall not revert
5 21 but shall remain available for expenditure in subsequent
5 22 fiscal years.
5 23 Sec. 7. Section 455C.5, subsection 1, Code 2005, is
5 24 amended to read as follows:
5 25 1. Each beverage container sold or offered for sale in
5 26 this state by a dealer shall clearly indicate by embossing or
5 27 by a stamp, label or other method securely affixed to the
5 28 container, the refund value of the container. The department
5 29 shall specify, by rule, the minimum size of the refund value
5 30 indication on the beverage containers. The embossing, stamp,
5 31 label, or other method used to identify containers with a
5 32 refund value shall be clear, conspicuous, and in significant
5 33 color contrast to the rest of the container.
5 34 Sec. 8. NEW SECTION. 455C.17 RECYCLED CONTENT IN
5 35 BEVERAGE CONTAINERS.
6 1 A beverage container sold or offered for sale in this state
6 2 shall have a minimum postconsumer recycled content of twenty=
6 3 five percent by weight.
6 4 EXPLANATION
6 5 This bill expands the list of beverage containers which are
6 6 covered under the beverage container control laws in Code
6 7 chapter 455C to include any nonalcoholic carbonated and
6 8 noncarbonated drinks excluding milk and dairy=derived
6 9 products. The bill excludes from the expanded list any liquid
6 10 which is a syrup, in a concentrated form, or is typically
6 11 added as a minor flavoring ingredient in food or drink; any
6 12 liquid which is ingested in very small quantities and which is
6 13 consumed for medicinal purposes only; any liquid which is
6 14 designed and consumed only as a nutritional supplement and not
6 15 as a beverage; products frozen at the time of sale to the
6 16 consumer, or, in the case of institutional users such as
6 17 hospitals and nursing homes, at the time of sale to such
6 18 users; products designed to be consumed in a frozen state;
6 19 instant drink powders; seafood, meat, or vegetable broths or
6 20 soups but not juices; and farm=produced apple cider, which has
6 21 not been heated, pasteurized, or otherwise processed.
6 22 The bill amends the definition of "distributor" to include
6 23 any dealer that manufactures or contracts for the manufacture
6 24 of its own beverage for exclusive sale by that dealer.
6 25 The bill increases the reimbursement amount received by a
6 26 dealer or person operating a redemption center who redeems
6 27 empty beverage containers from 1 cent per container to 2 cents
6 28 per container. The reimbursement amount is paid by the
6 29 distributor who collects the beverage containers from the
6 30 dealer or person operating a redemption center.
6 31 The bill provides that a distributor shall accept and pick
6 32 up from a dealer served by the distributor or a redemption
6 33 center within the geographic territory served by the
6 34 distributor any empty beverage container of the kind, size,
6 35 and brand sold by the distributor within seven days of the
7 1 previous pickup from the same dealer or redemption center.
7 2 The bill provides that a distributor shall open and
7 3 maintain a separate account to be known as the Iowa refund
7 4 value account. The bill provides that the account shall be
7 5 kept separate from all other accounts and revenues of the
7 6 distributor and shall be maintained by the distributor on
7 7 behalf of the consumers purchasing a beverage container from a
7 8 dealer and on behalf of the state. The bill provides that
7 9 moneys in the account shall be used only to pay refund values.
7 10 The bill provides that a distributor shall deposit 5 cents in
7 11 the distributor's account for every beverage container sold to
7 12 a dealer in this state.
7 13 The bill provides that at the end of each month, the
7 14 distributor shall determine what amount, if any, is equal to
7 15 the excess of the sum of the income earned on the account
7 16 during that month and the total amount deposited in the
7 17 account during that month and the previous two months. The
7 18 bill provides that any excess shall be deemed to constitute
7 19 abandoned refund value and shall be remitted to the department
7 20 of natural resources for deposit in the Robert D. Ray
7 21 beautiful land fund which is established in the bill.
7 22 The bill sets out the amounts and purposes for which moneys
7 23 in the fund are appropriated annually. The bill provides that
7 24 $250,000 of the fund is appropriated to the state department
7 25 of transportation for purposes of the adopt=a=highway program,
7 26 and $350,000 is appropriated to the state board of regents for
7 27 the Iowa waste reduction center. The bill provides that the
7 28 remaining moneys are appropriated to the department of natural
7 29 resources to be used as follows:
7 30 1. One=third to provide financial assistance for purposes
7 31 of assisting adopt=a=place programs designed to address litter
7 32 collection and prevention.
7 33 2. One=sixth to provide grants to dealers, dealer agents,
7 34 and persons operating a redemption center for purposes of
7 35 increasing the effectiveness, efficiency, and convenience of
8 1 redemption.
8 2 3. One=sixth to provide grants for purposes of awareness,
8 3 informational, or educational programs designed to address
8 4 litter and illegal dumping issues.
8 5 4. One=sixth to provide grants for purposes of awareness,
8 6 informational, or educational programs designed to address
8 7 waste reduction, waste reuse, and recycling issues.
8 8 5. One=sixth to provide no=interest loans for purposes of
8 9 developing end uses and markets for recyclables in the state.
8 10 The bill provides that the indication by embossing or by a
8 11 stamp, label, or other method used to identify containers with
8 12 a refund value shall be clear, conspicuous, and in significant
8 13 color contrast to the rest of the container.
8 14 The bill provides that a beverage container sold or offered
8 15 for sale in this state shall have a minimum postconsumer
8 16 recycled content of 25 percent by weight.
8 17 LSB 2303HH 81
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