HF 272 (LSB 1118YH (2) 87)

HOUSE FILE 272

BY  MASCHER, STAED, LENSING, and WINCKLER

A BILL FOR

An Act relating to beverage container refund value and handling fee amounts.
BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:

    Section 1.  Section 455C.2, Code 2017, is amended to read as follows:
   455C.2  Refund values.
   1.  A refund value of not less than five ten cents shall be paid by the consumer on each beverage container sold in this state by a dealer for consumption off the premises. Upon return of the empty beverage container upon which a refund value has been paid to the dealer or person operating a redemption center and acceptance of the empty beverage container by the dealer or person operating a redemption center, the dealer or person operating a redemption center shall return the amount of the refund value to the consumer.
   2.  In addition to the refund value provided in subsection 1 of this section, a dealer, or person operating a redemption center who redeems empty beverage containers or a dealer agent shall be reimbursed by the distributor required to accept the empty beverage containers an amount which is one cent three cents per container. A dealer, dealer agent, or person operating a redemption center may compact empty metal beverage containers with the approval of the distributor required to accept the containers.
    Sec. 2.  Section 455C.5, subsection 3, Code 2017, is amended to read as follows:
   3.  The provisions of subsections 1 and 2 of this section do not apply to a refillable glass beverage container which has a brand name permanently marked on it and which has a refund value of not less than five ten cents, to any other refillable beverage container which has a refund value of not less than five ten cents and which is exempted by the director under rules adopted by the commission, or to a beverage container sold aboard a commercial airliner or passenger train for consumption on the premises.
EXPLANATION
The inclusion of this explanation does not constitute agreement with
the explanation’s substance by the members of the general assembly.
   This bill increases the refund value paid by and returned to consumers for beverage containers from 5 cents to 10 cents. The bill modifies corresponding language regarding the refund value printed on certain beverage containers. 
   The bill also increases the reimbursement amount received by a dealer or person operating a redemption center who redeems empty beverage containers from 1 cent per container to 3 cents per container. The reimbursement amount, commonly referred to as a handling fee, is paid by the distributor who collects the beverage containers from the dealer or person operating a redemption center.