Senate Study Bill 1247 - Introduced SENATE FILE _____ BY (PROPOSED COMMITTEE ON APPROPRIATIONS BILL BY CHAIRPERSON DVORSKY) A BILL FOR An Act relating to the types of containers included under the 1 beverage container control laws and the reimbursement amount 2 paid by a distributor for empty beverage containers and 3 making an appropriation. 4 BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA: 5 TLSB 2134XC (2) 85 tm/rj

S.F. _____ Section 1. Section 455C.1, subsections 1 and 2, Code 2013, 1 are amended to read as follows: 2 1. “Beverage” means includes but is not limited to wine as 3 defined in section 123.3, subsection 47 , alcoholic liquor as 4 defined in section 123.3, subsection 5 , and beer all as defined 5 in section 123.3, subsection 7, mineral water, soda water and 6 similar carbonated soft drinks and any nonalcoholic, carbonated 7 and noncarbonated drinks, in liquid form and intended for human 8 consumption. “Beverage” does not include any of the following: 9 a. Fruit and vegetable juice and drink products. 10 b. Grade “A” milk and milk products as specified in the 11 grade “A” pasteurized milk ordinance, as provided in section 12 192.102. 13 c. A liquid that is any of the following: 14 (1) A syrup. 15 (2) In a concentrated form. 16 (3) Typically added as a minor flavoring ingredient in 17 food or drink, such as extracts, cooking additives, sauces, or 18 condiments. 19 d. A liquid that is ingested in very small quantities and 20 consumed for medicinal purposes only. 21 e. A liquid that is designed and consumed only as a 22 nutritional supplement, as defined by the department, and not 23 as a beverage. 24 f. Products frozen at the time of sale to the consumer, 25 or, in the case of institutional users such as hospitals and 26 nursing homes, at the time of sale to such users. 27 g. Products designed to be consumed in a frozen state. 28 h. Instant drink powders. 29 i. Seafood, meat, or vegetable broths or soups. 30 j. Farm-produced apple cider that has not been heated, 31 pasteurized, or otherwise processed. 32 k. Infant formula. 33 2. “Beverage container” means any sealed glass, plastic, 34 or metal bottle, can, jar , or carton containing a beverage. 35 -1- LSB 2134XC (2) 85 tm/rj 1/ 3

S.F. _____ “Beverage container” does not include any of the following: 1 a. A bottle, can, jar, or carton of three liters or more in 2 size containing a noncarbonated beverage. 3 b. A bottle, can, jar, or carton made of high-density 4 polyethylene. 5 Sec. 2. Section 455C.2, subsection 2, Code 2013, is amended 6 to read as follows: 7 2. In addition to the refund value provided in subsection 8 1 of this section , a dealer, or person operating a redemption 9 center who redeems empty beverage containers or a dealer agent 10 shall be reimbursed by the distributor required to accept 11 the empty beverage containers an amount which is one cent 12 per container. However, the distributor shall provide an 13 additional one cent reimbursement for each beverage container 14 made of plastic. A dealer, dealer agent, or person operating a 15 redemption center may compact empty metal beverage containers 16 with the approval of the distributor required to accept the 17 containers. 18 Sec. 3. APPROPRIATION. There is appropriated from the 19 general fund of the state to the department of natural 20 resources for the fiscal year beginning July 1, 2013, and 21 ending June 30, 2014, the following amount, or so much thereof 22 as is necessary, to be used for the purposes designated: 23 For administering chapter 455C, including salaries, support, 24 maintenance, and miscellaneous purposes: 25 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . $ 10,000 26 EXPLANATION 27 This bill relates to the types of containers included under 28 the beverage container control laws and the reimbursement 29 amount paid by a distributor for empty beverage containers. 30 The bill expands the list of beverages whose containers are 31 regulated under Code chapter 455C, commonly referred to as 32 the bottle bill. The newly regulated beverages include any 33 nonalcoholic, carbonated and noncarbonated drinks excluding 34 fruit and vegetable juices and fruit drinks and grade “A” milk 35 -2- LSB 2134XC (2) 85 tm/rj 2/ 3

S.F. _____ and milk products as specified in the grade “A” pasteurized 1 milk ordinance. The bill also includes a list of other 2 exceptions to the newly regulated beverages. 3 The bill limits the type of bottles, cans, jars, and cartons 4 that are included under the definition for the term “beverage 5 container”. The bill excludes from the term bottles, cans, 6 jars, and cartons of three liters or more in size containing 7 a noncarbonated beverage and bottles, cans, jars, and cartons 8 made of high-density polyethylene. 9 The reimbursement amount, commonly referred to as a handling 10 fee, is paid by the distributor who collects the beverage 11 containers from the dealer or person operating a redemption 12 center. Currently, the reimbursement amount is 1 cent per 13 container. The bill requires distributors to pay an additional 14 1 cent for each collected beverage container that is made of 15 plastic. 16 The bill appropriates moneys from the general fund of the 17 state to the department of natural resources for purposes 18 of administering Code chapter 455C relating to the beverage 19 container control laws. 20 -3- LSB 2134XC (2) 85 tm/rj 3/ 3