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House File 575 - IntroducedA Bill ForAn Act 1repealing the beverage containers control program,
2creating a recycling program and a litter control and
3community enhancement initiative, imposing certain recycling
4program fees and litter control and community enhancement
5excise taxes, modifying references to the waste volume
6reduction and recycling fund, and including effective date
7provisions.
8BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. NEW SECTION. 455C.1 Definitions.
21. “Beverage” means wine as defined in section 123.3,
3subsection 47, alcoholic liquor as defined in section 123.3,
4subsection 5, beer as defined in section 123.3, subsection 7,
5mineral water, soda water, and similar carbonated soft drinks
6in liquid form and intended for human consumption.
72. “Beverage container” means a sealed glass, plastic,
8cardboard, or metal bottle, can, jar, or carton containing a
9beverage.
103. “Commission” means the environmental protection
11commission.
124. “Consumer” means a person who purchases a beverage in a
13beverage container for use or consumption.
145. “Core recyclables” includes aluminum or steel cans,
15plastic bottles designated with society of plastics industry
16resin codes one through seven as determined by ASTM (American
17society for testing and materials) international, glass
18bottles and jars, newspapers, magazines, junk mail, corrugated
19cardboard, boxboard, mixed paper, beverage cartons, and
20additional materials designated periodically by the department.
216. “Dealer” means a person who engages in the sale of
22beverages in beverage containers to a consumer.
237. “Department” means the department of natural resources
24created in section 455A.2.
258. “Director” means the director of the department.
269. “Distributor” means a person who engages in the sale of
27beverages in beverage containers to a dealer in this state,
28including any manufacturer who engages in such sales.
2910. “Eligible applicant” means a person who submits a
30completed application to the department under this chapter.
3111. “Manufacturer” means a person who fills beverage
32containers with beverages for sale to distributors or dealers.
3312. “Recycling” means the same as defined in section 455D.1.
34 Sec. 2. NEW SECTION. 455C.2 Findings and policy.
35The general assembly reaffirms its findings and statements
-1-1of policies set forth in sections 455D.2 through 455D.4.
2 Sec. 3. NEW SECTION. 455C.3 Duties of the director.
3The director shall do all of the following:
41. Unless otherwise specified in this chapter, recommend
5rules to the commission necessary to administer this chapter.
62. Administer the recycling program created by this
7chapter.
83. Enter into contracts and agreements with local units of
9government, other state agencies, governments of other states,
10governmental agencies of the United States, other public and
11private contractors, and other persons as may be necessary or
12beneficial in carrying out the department’s duties under this
13chapter, with commission approval required for contracts or
14agreements in excess of twenty-five thousand dollars.
154. Organize an application review team to review proposals
16submitted to the department in accordance with this chapter.
17 Sec. 4. NEW SECTION. 455C.4 Rules.
18The commission shall adopt rules pursuant to chapter 17A
19necessary to administer this chapter.
20 Sec. 5. NEW SECTION. 455C.5 Recycling program planning.
211. An eligible applicant may submit a recycling program
22proposal to the department on or before January 1, 2018.
23a. The department may provide proposal guidance and funding
24assistance to an eligible applicant.
25b. The department may encourage and reward regionalized
26efforts through its recycling program proposal funding
27assistance decisions.
282. A proposal submitted by an eligible applicant must
29include all of the following:
30a. An inventory of the eligible applicant’s existing
31recycling programs and infrastructure.
32b. New investment and personnel required to comply with
33recycling program requirements.
34c. Planned recycling education and outreach initiatives.
35d. Projected landfill diversion results from the expenditure
-2-1of the requested funding assistance.
2e. Projected greenhouse gas emissions avoided or reduced.
3f. Projected economic benefits to cities and counties.
4g. A business plan to ensure successful operation after
5funding assistance ends.
6h. Planned initiatives to encourage innovation regarding use
7of recycling materials.
83. Proposals submitted by eligible applicants must
9prioritize the recovery of high-value materials from the waste
10stream and emphasize the highest and best use for recovered
11materials given economic and logistic constraints.
124. The department shall review and may approve submitted
13proposals according to criteria developed by the department.
14The department shall return unsatisfactory proposals to
15eligible applicants for revision and resubmission. Eligible
16applicants whose proposals are not approved by the department
17are not eligible for assistance from the recycling program.
185. Proposals must include a means of collecting core
19recyclables based on best practices for improving accessibility
20and convenience in the eligible applicant’s region of the
21state, and may include special handling for glass containers.
22Eligible applicants are encouraged to pursue revenue-sharing
23clauses in contracts for the sale of recyclables that allow for
24incentives to maintain high-volume and high-value recycling
25streams.
26 Sec. 6. NEW SECTION. 455C.6 Recycling program —
27utilization.
28The recycling program shall do the following:
291. Issue grants or no-interest, low-interest, or forgivable
30loans to eligible applicants for the preparation of recycling
31program proposals submitted under section 455C.5. Total
32funding assistance for recycling program proposal grants and
33loans for all years shall not exceed five million dollars.
342. Include review by the department of recycling proposals,
35conducting baseline recycling research, and enforcing
-3-1provisions of this chapter, including enforcement of the
2payment of the recycling program fee.
33. Issue grants or no-interest, low-interest, or
4forgivable loans for capital investment needed for collection,
5transportation, processing, or marketing of core recyclables
6and other recyclables. Priorities for these grants and loans
7include all of the following:
8a. Start-up or transition costs for residential recycling
9programs and for new initiatives to collect core recyclables
10and other recyclables in conjunction with commercial recycling
11programs.
12b. Projects and proposals demonstrating cost-effective solid
13waste diversion programs.
14c. Costs for businesses dependent upon the beverage
15containers control program prior to January 1, 2019, to
16transition into recycling system entities including but not
17limited to redemption centers, collectors, and transportation
18providers.
19 Sec. 7. NEW SECTION. 455C.7 Recycling program fee.
201. As of January 1, 2019, the department shall impose a
21recycling program fee of one cent per beverage container on
22distributors as a temporary assessment that will remain in
23place until recycling program fee revenues equal sixty million
24dollars, at which point the recycling program fee shall no
25longer be imposed.
262. Revenue generated from the recycling program fee shall
27not be subject to appropriation and shall be deposited in the
28solid waste account of the groundwater protection fund created
29in section 455E.11, subsection 2, to be utilized as provided in
30section 455E.11, subsection 2, paragraph “a”, subparagraph (1),
31subparagraph division (f).
323. The department shall examine other more diversified
33funding mechanisms, including modifications to the litter
34control and community enhancement fee imposed under section
35455C.9, to provide ongoing support for recycling programs after
-4-1the recycling program fee is no longer imposed.
24. Expenditures for recycling program administration and
3support may be paid using moneys received for deposit in the
4solid waste account under this section but shall not exceed
5five percent of the total moneys received for deposit each
6fiscal year.
75. Fees imposed by this section shall be paid by
8distributors to the department on a quarterly basis with
9payment due by no more than ninety days following the quarter
10during which the fees were collected. The payment shall be
11accompanied by a return which shall identify the amount of fees
12to be deposited in the solid waste account of the groundwater
13protection fund.
14 Sec. 8. NEW SECTION. 455C.8 Litter control and community
15enhancement initiatives.
16The keep Iowa beautiful fund created in section 314.28 may be
17utilized to financially support litter control and community
18enhancement initiatives that do any of the following:
191. Conduct statewide surveys every ten years to allow
20tracking of litter control and prevention progress.
212. Develop and utilize public relations campaigns primarily
22focused on litter control and community enhancement.
233. Promote teachers-going-green-program lesson plans that
24meet core federal and state education requirements.
254. Coordinate community service outreach grant programs
26targeted at youth groups, elementary school fundraisers,
27and religious and community improvement clubs, schools, or
28specialized programs.
295. Approve the funding of submitted litter control
30and community enhancement proposals according to criteria
31determined by the administrator of the keep Iowa beautiful
32fund. Inadequate or incomplete proposals shall be returned
33to the eligible applicant for revision and resubmission.
34Eligible applicants whose proposals are not approved by the
35administrator of the keep Iowa beautiful fund shall not be
-5-1eligible for funding assistance from the keep Iowa beautiful
2fund.
3 Sec. 9. NEW SECTION. 455C.9 Litter control and community
4enhancement fee.
51. A litter control and community enhancement fee is
6imposed effective January 1, 2019, as an excise tax collected
7by the department of revenue at a rate of fifteen-thousandths
8of one percent upon the sales price of beverages in beverage
9containers.
102. All revenue generated from the litter control and
11community enhancement fee shall be deposited into a separate
12account in the keep Iowa beautiful fund. Revenue generated
13from the litter control and community enhancement fee shall not
14be used for any purpose other than those referenced in section
15455C.8 and shall not be subject to appropriation for any other
16purpose.
173. Fees imposed by this section shall be paid to the
18department on a quarterly basis with payment due by no more
19than ninety days following the quarter during which the fees
20were collected. The payment shall be accompanied by a return
21which shall identify the amount of fees to be deposited in the
22keep Iowa beautiful fund.
234. The director of revenue shall administer the litter
24control and community enhancement fee as an excise tax on the
25sale of beverages in beverage containers as nearly as possible
26in conjunction with the administration of the state sales and
27use tax law, except that portion of the law that implements the
28streamlined sales and use tax agreement. The director shall
29provide appropriate forms, or provide on the regular state tax
30forms, for reporting the excise tax liability.
31 Sec. 10. Section 29C.8A, subsection 1, Code 2017, is amended
32to read as follows:
331. An emergency response fund is created in the state
34treasury. The first one hundred thousand dollars received
35annually by the treasurer of state for the civil penalties
-6-1and fines imposed by the court pursuant to sections 455B.146,
2455B.191, 455B.386, and 455B.477 shall be deposited in the
3waste volume reduction and recycling fund created in section
4455D.15. The next hundred thousand dollars shall be deposited
5in the emergency response fund and any additional moneys shall
6be deposited in the household hazardous waste account. All
7moneys received annually by the treasurer of the state for the
8fines imposed by sections 716B.2, 716B.3, and 716B.4 shall also
9be deposited in the emergency response fund.
10 Sec. 11. Section 123.24, subsection 5, Code 2017, is amended
11by striking the subsection.
12 Sec. 12. Section 123.26, Code 2017, is amended to read as
13follows:
14123.26 Restrictions on sales — seals — labeling.
15Alcoholic liquor shall not be sold by a class “E” liquor
16control licensee except in a sealed container with identifying
17markers as prescribed by the administrator and affixed in the
18manner prescribed by the administrator, and no such container
19shall be opened upon the premises of a state warehouse. The
20division shall cooperate with the department of natural
21resources so that only one identifying marker or mark is needed
22to satisfy the requirements of this section and section 455C.5,
23subsection 1. Possession of alcoholic liquors which do not
24carry the prescribed identifying markers is a violation of this
25chapter except as provided in section 123.22.
26 Sec. 13. Section 123.187, subsection 4, paragraph b, Code
272017, is amended by striking the paragraph.
28 Sec. 14. Section 423.6, subsection 3, paragraph a, Code
292017, is amended to read as follows:
30a. Any tangible personal property including containers which
31it is intended shall, by means of fabrication, compounding,
32manufacturing, or germination, become an integral part of other
33tangible personal property intended to be sold ultimately at
34retail, and containers used in the collection, recovery, or
35return of empty beverage containers subject to chapter 455C.
-7-1 Sec. 15. Section 455B.313, subsection 1, Code 2017, is
2amended to read as follows:
31. A distributor as defined in section 455C.1, subsection
49, shall not sell or offer to sell any beverage container
5if the beverage container is connected to another beverage
6container by a device constructed of a material which is not
7biodegradable or photodegradable.
8 Sec. 16. Section 455D.6, subsection 2, Code 2017, is amended
9to read as follows:
102. Administer and coordinate the waste volume reduction and
11recycling fund created under section 455D.15.
12 Sec. 17. Section 455D.15, subsection 1, Code 2017, is
13amended to read as follows:
141. A waste volume reduction and recycling fund is created
15within the state treasury. Moneys received by the department
16from fees, including general revenue, federal funds, awards,
17wills, bequests, gifts, or other moneys designated shall be
18deposited in the state treasury to the credit of the fund.
19Notwithstanding section 8.33, any unexpended balance in the
20fund at the end of each fiscal year shall be retained in the
21fund. Any interest and earnings on investments from money
22in the fund shall be credited to the fund, section 12C.7
23notwithstanding.
24 Sec. 18. Section 455D.15A, Code 2017, is amended to read as
25follows:
26455D.15A Permitting of waste conversion technologies
27operations — fees.
28A facility using waste conversion technologies, as defined
29in section 455B.301, shall annually obtain a permit from the
30department. The department shall establish by rule an annual
31fee for such permits, which shall be sufficient to cover
32the costs of administering the permit program. The moneys
33collected by the department shall be deposited in the waste
34volume reduction and recycling fund established in section
35455D.15 and shall be used for the purposes of administering the
-8-1permit program.
2 Sec. 19. Section 455E.11, subsection 2, paragraph a,
3subparagraph (1), subparagraph division (f), Code 2017, is
4amended to read as follows:
5(f) The balance of the remaining funds shall be used by the
6department to develop do the following:
7(i) Developand implement demonstration projects for
8landfill alternatives to solid waste disposal including
9recycling programs. These funds may also be used to assist
10(ii) Assistplanning areas which have not been designated
11as environmental management systems in meeting the designation
12requirements of section 455J.3.
13(iii) Provide financial assistance for recycling programs
14described in section 455C.6 using revenue from fees imposed
15under section 455C.7.
16 Sec. 20. REPEAL. Chapter 455C, Code 2017, is repealed.
17 Sec. 21. REPEAL. Section 455D.21, Code 2017, is repealed.
18 Sec. 22. TRANSITION AND IMPLEMENTATION. The department
19of natural resources and the administrator of the keep Iowa
20beautiful board may begin preparations to implement this Act,
21including adoption of administrative rules, prior to January 1,
222018, to the extent necessary to transition from the beverage
23containers control law to full implementation of the provisions
24relating to the recycling program and litter control and
25community enhancement initiatives.
26 Sec. 23. EFFECTIVE DATE. This Act takes effect January 1,
272018, except as otherwise provided in this Act.
28 Sec. 24. EFFECTIVE DATE — TRANSITION AND
29IMPLEMENTATION. The section of this Act providing for
30transition and implementation takes effect July 1, 2017.
31EXPLANATION
32The inclusion of this explanation does not constitute agreement with
33the explanation’s substance by the members of the general assembly.
34This bill repeals current Code chapter 455C, the beverage
35containers control law, and replaces it with new statewide
-9-1recycling, litter control, and community enhancement programs.
2The bill requires an eligible applicant to submit a
3recycling program proposal to the department of natural
4resources on or before January 1, 2018, outlining its proposals
5regarding recycling, litter control, and community enhancement
6programs set forth in new Code sections 455C.5 and 455C.8.
7Eligible applicants without approved proposals will not be
8eligible for funding assistance from the new programs created
9in the new Code chapter.
10The bill deposits moneys into the solid waste account of the
11groundwater protection fund created in Code section 455E.11(2)
12for use by the recycling program collected through a recycling
13program fee imposed by the department of natural resources.
14The recycling program fee is a temporary assessment that will
15remain in place until $60 million is raised, at which point the
16recycling program fee is no longer imposed.
17The bill requires eligible applicants to submit
18litter control and community enhancement proposals to the
19administrator of the keep Iowa beautiful fund. The keep Iowa
20beautiful fund receives moneys from a new litter control and
21community enhancement fee collected by the department of
22revenue at a rate of fifteen-thousandths of 1 percent of the
23sales price of beverages in beverage containers.
24The bill authorizes the environmental protection commission
25to adopt rules pursuant to Code chapter 17A necessary to
26administer the new Code chapter 455C provisions.
27The bill modifies the title of the waste volume reduction
28and recycling fund created in Code section 455D.15 and updates
29references to that fund throughout the Code.
30The bill removes a statutory requirement that city councils
31or county boards of supervisors that provide for residential
32solid waste collection consider mandatory curbside collection
33of recyclable materials as a proposed ordinance.
34The bill takes effect January 1, 2018, except that the
35department of natural resources and the administrator of the
-10-1keep Iowa beautiful fund may begin implementation on July 1,
22017, to the extent necessary to transition from the beverage
3containers control law to full implementation of the provisions
4relating to the recycling program and litter control and
5community enhancement initiative.
-11-tr/rj
2creating a recycling program and a litter control and
3community enhancement initiative, imposing certain recycling
4program fees and litter control and community enhancement
5excise taxes, modifying references to the waste volume
6reduction and recycling fund, and including effective date
7provisions.
8BE IT ENACTED BY THE GENERAL ASSEMBLY OF THE STATE OF IOWA:
1 Section 1. NEW SECTION. 455C.1 Definitions.
21. “Beverage” means wine as defined in section 123.3,
3subsection 47, alcoholic liquor as defined in section 123.3,
4subsection 5, beer as defined in section 123.3, subsection 7,
5mineral water, soda water, and similar carbonated soft drinks
6in liquid form and intended for human consumption.
72. “Beverage container” means a sealed glass, plastic,
8cardboard, or metal bottle, can, jar, or carton containing a
9beverage.
103. “Commission” means the environmental protection
11commission.
124. “Consumer” means a person who purchases a beverage in a
13beverage container for use or consumption.
145. “Core recyclables” includes aluminum or steel cans,
15plastic bottles designated with society of plastics industry
16resin codes one through seven as determined by ASTM (American
17society for testing and materials) international, glass
18bottles and jars, newspapers, magazines, junk mail, corrugated
19cardboard, boxboard, mixed paper, beverage cartons, and
20additional materials designated periodically by the department.
216. “Dealer” means a person who engages in the sale of
22beverages in beverage containers to a consumer.
237. “Department” means the department of natural resources
24created in section 455A.2.
258. “Director” means the director of the department.
269. “Distributor” means a person who engages in the sale of
27beverages in beverage containers to a dealer in this state,
28including any manufacturer who engages in such sales.
2910. “Eligible applicant” means a person who submits a
30completed application to the department under this chapter.
3111. “Manufacturer” means a person who fills beverage
32containers with beverages for sale to distributors or dealers.
3312. “Recycling” means the same as defined in section 455D.1.
34 Sec. 2. NEW SECTION. 455C.2 Findings and policy.
35The general assembly reaffirms its findings and statements
-1-1of policies set forth in sections 455D.2 through 455D.4.
2 Sec. 3. NEW SECTION. 455C.3 Duties of the director.
3The director shall do all of the following:
41. Unless otherwise specified in this chapter, recommend
5rules to the commission necessary to administer this chapter.
62. Administer the recycling program created by this
7chapter.
83. Enter into contracts and agreements with local units of
9government, other state agencies, governments of other states,
10governmental agencies of the United States, other public and
11private contractors, and other persons as may be necessary or
12beneficial in carrying out the department’s duties under this
13chapter, with commission approval required for contracts or
14agreements in excess of twenty-five thousand dollars.
154. Organize an application review team to review proposals
16submitted to the department in accordance with this chapter.
17 Sec. 4. NEW SECTION. 455C.4 Rules.
18The commission shall adopt rules pursuant to chapter 17A
19necessary to administer this chapter.
20 Sec. 5. NEW SECTION. 455C.5 Recycling program planning.
211. An eligible applicant may submit a recycling program
22proposal to the department on or before January 1, 2018.
23a. The department may provide proposal guidance and funding
24assistance to an eligible applicant.
25b. The department may encourage and reward regionalized
26efforts through its recycling program proposal funding
27assistance decisions.
282. A proposal submitted by an eligible applicant must
29include all of the following:
30a. An inventory of the eligible applicant’s existing
31recycling programs and infrastructure.
32b. New investment and personnel required to comply with
33recycling program requirements.
34c. Planned recycling education and outreach initiatives.
35d. Projected landfill diversion results from the expenditure
-2-1of the requested funding assistance.
2e. Projected greenhouse gas emissions avoided or reduced.
3f. Projected economic benefits to cities and counties.
4g. A business plan to ensure successful operation after
5funding assistance ends.
6h. Planned initiatives to encourage innovation regarding use
7of recycling materials.
83. Proposals submitted by eligible applicants must
9prioritize the recovery of high-value materials from the waste
10stream and emphasize the highest and best use for recovered
11materials given economic and logistic constraints.
124. The department shall review and may approve submitted
13proposals according to criteria developed by the department.
14The department shall return unsatisfactory proposals to
15eligible applicants for revision and resubmission. Eligible
16applicants whose proposals are not approved by the department
17are not eligible for assistance from the recycling program.
185. Proposals must include a means of collecting core
19recyclables based on best practices for improving accessibility
20and convenience in the eligible applicant’s region of the
21state, and may include special handling for glass containers.
22Eligible applicants are encouraged to pursue revenue-sharing
23clauses in contracts for the sale of recyclables that allow for
24incentives to maintain high-volume and high-value recycling
25streams.
26 Sec. 6. NEW SECTION. 455C.6 Recycling program —
27utilization.
28The recycling program shall do the following:
291. Issue grants or no-interest, low-interest, or forgivable
30loans to eligible applicants for the preparation of recycling
31program proposals submitted under section 455C.5. Total
32funding assistance for recycling program proposal grants and
33loans for all years shall not exceed five million dollars.
342. Include review by the department of recycling proposals,
35conducting baseline recycling research, and enforcing
-3-1provisions of this chapter, including enforcement of the
2payment of the recycling program fee.
33. Issue grants or no-interest, low-interest, or
4forgivable loans for capital investment needed for collection,
5transportation, processing, or marketing of core recyclables
6and other recyclables. Priorities for these grants and loans
7include all of the following:
8a. Start-up or transition costs for residential recycling
9programs and for new initiatives to collect core recyclables
10and other recyclables in conjunction with commercial recycling
11programs.
12b. Projects and proposals demonstrating cost-effective solid
13waste diversion programs.
14c. Costs for businesses dependent upon the beverage
15containers control program prior to January 1, 2019, to
16transition into recycling system entities including but not
17limited to redemption centers, collectors, and transportation
18providers.
19 Sec. 7. NEW SECTION. 455C.7 Recycling program fee.
201. As of January 1, 2019, the department shall impose a
21recycling program fee of one cent per beverage container on
22distributors as a temporary assessment that will remain in
23place until recycling program fee revenues equal sixty million
24dollars, at which point the recycling program fee shall no
25longer be imposed.
262. Revenue generated from the recycling program fee shall
27not be subject to appropriation and shall be deposited in the
28solid waste account of the groundwater protection fund created
29in section 455E.11, subsection 2, to be utilized as provided in
30section 455E.11, subsection 2, paragraph “a”, subparagraph (1),
31subparagraph division (f).
323. The department shall examine other more diversified
33funding mechanisms, including modifications to the litter
34control and community enhancement fee imposed under section
35455C.9, to provide ongoing support for recycling programs after
-4-1the recycling program fee is no longer imposed.
24. Expenditures for recycling program administration and
3support may be paid using moneys received for deposit in the
4solid waste account under this section but shall not exceed
5five percent of the total moneys received for deposit each
6fiscal year.
75. Fees imposed by this section shall be paid by
8distributors to the department on a quarterly basis with
9payment due by no more than ninety days following the quarter
10during which the fees were collected. The payment shall be
11accompanied by a return which shall identify the amount of fees
12to be deposited in the solid waste account of the groundwater
13protection fund.
14 Sec. 8. NEW SECTION. 455C.8 Litter control and community
15enhancement initiatives.
16The keep Iowa beautiful fund created in section 314.28 may be
17utilized to financially support litter control and community
18enhancement initiatives that do any of the following:
191. Conduct statewide surveys every ten years to allow
20tracking of litter control and prevention progress.
212. Develop and utilize public relations campaigns primarily
22focused on litter control and community enhancement.
233. Promote teachers-going-green-program lesson plans that
24meet core federal and state education requirements.
254. Coordinate community service outreach grant programs
26targeted at youth groups, elementary school fundraisers,
27and religious and community improvement clubs, schools, or
28specialized programs.
295. Approve the funding of submitted litter control
30and community enhancement proposals according to criteria
31determined by the administrator of the keep Iowa beautiful
32fund. Inadequate or incomplete proposals shall be returned
33to the eligible applicant for revision and resubmission.
34Eligible applicants whose proposals are not approved by the
35administrator of the keep Iowa beautiful fund shall not be
-5-1eligible for funding assistance from the keep Iowa beautiful
2fund.
3 Sec. 9. NEW SECTION. 455C.9 Litter control and community
4enhancement fee.
51. A litter control and community enhancement fee is
6imposed effective January 1, 2019, as an excise tax collected
7by the department of revenue at a rate of fifteen-thousandths
8of one percent upon the sales price of beverages in beverage
9containers.
102. All revenue generated from the litter control and
11community enhancement fee shall be deposited into a separate
12account in the keep Iowa beautiful fund. Revenue generated
13from the litter control and community enhancement fee shall not
14be used for any purpose other than those referenced in section
15455C.8 and shall not be subject to appropriation for any other
16purpose.
173. Fees imposed by this section shall be paid to the
18department on a quarterly basis with payment due by no more
19than ninety days following the quarter during which the fees
20were collected. The payment shall be accompanied by a return
21which shall identify the amount of fees to be deposited in the
22keep Iowa beautiful fund.
234. The director of revenue shall administer the litter
24control and community enhancement fee as an excise tax on the
25sale of beverages in beverage containers as nearly as possible
26in conjunction with the administration of the state sales and
27use tax law, except that portion of the law that implements the
28streamlined sales and use tax agreement. The director shall
29provide appropriate forms, or provide on the regular state tax
30forms, for reporting the excise tax liability.
31 Sec. 10. Section 29C.8A, subsection 1, Code 2017, is amended
32to read as follows:
331. An emergency response fund is created in the state
34treasury. The first one hundred thousand dollars received
35annually by the treasurer of state for the civil penalties
-6-1and fines imposed by the court pursuant to sections 455B.146,
2455B.191, 455B.386, and 455B.477 shall be deposited in the
3waste volume reduction and recycling fund created in section
4455D.15. The next hundred thousand dollars shall be deposited
5in the emergency response fund and any additional moneys shall
6be deposited in the household hazardous waste account. All
7moneys received annually by the treasurer of the state for the
8fines imposed by sections 716B.2, 716B.3, and 716B.4 shall also
9be deposited in the emergency response fund.
10 Sec. 11. Section 123.24, subsection 5, Code 2017, is amended
11by striking the subsection.
12 Sec. 12. Section 123.26, Code 2017, is amended to read as
13follows:
14123.26 Restrictions on sales — seals — labeling.
15Alcoholic liquor shall not be sold by a class “E” liquor
16control licensee except in a sealed container with identifying
17markers as prescribed by the administrator and affixed in the
18manner prescribed by the administrator, and no such container
19shall be opened upon the premises of a state warehouse. The
20division shall cooperate with the department of natural
21resources so that only one identifying marker or mark is needed
22to satisfy the requirements of this section and section 455C.5,
23subsection 1. Possession of alcoholic liquors which do not
24carry the prescribed identifying markers is a violation of this
25chapter except as provided in section 123.22.
26 Sec. 13. Section 123.187, subsection 4, paragraph b, Code
272017, is amended by striking the paragraph.
28 Sec. 14. Section 423.6, subsection 3, paragraph a, Code
292017, is amended to read as follows:
30a. Any tangible personal property including containers which
31it is intended shall, by means of fabrication, compounding,
32manufacturing, or germination, become an integral part of other
33tangible personal property intended to be sold ultimately at
34retail, and containers used in the collection, recovery, or
35return of empty beverage containers subject to chapter 455C.
-7-1 Sec. 15. Section 455B.313, subsection 1, Code 2017, is
2amended to read as follows:
31. A distributor as defined in section 455C.1, subsection
49, shall not sell or offer to sell any beverage container
5if the beverage container is connected to another beverage
6container by a device constructed of a material which is not
7biodegradable or photodegradable.
8 Sec. 16. Section 455D.6, subsection 2, Code 2017, is amended
9to read as follows:
102. Administer and coordinate the waste volume reduction and
11recycling fund created under section 455D.15.
12 Sec. 17. Section 455D.15, subsection 1, Code 2017, is
13amended to read as follows:
141. A waste volume reduction and recycling fund is created
15within the state treasury. Moneys received by the department
16from fees, including general revenue, federal funds, awards,
17wills, bequests, gifts, or other moneys designated shall be
18deposited in the state treasury to the credit of the fund.
19Notwithstanding section 8.33, any unexpended balance in the
20fund at the end of each fiscal year shall be retained in the
21fund. Any interest and earnings on investments from money
22in the fund shall be credited to the fund, section 12C.7
23notwithstanding.
24 Sec. 18. Section 455D.15A, Code 2017, is amended to read as
25follows:
26455D.15A Permitting of waste conversion technologies
27operations — fees.
28A facility using waste conversion technologies, as defined
29in section 455B.301, shall annually obtain a permit from the
30department. The department shall establish by rule an annual
31fee for such permits, which shall be sufficient to cover
32the costs of administering the permit program. The moneys
33collected by the department shall be deposited in the waste
34volume reduction and recycling fund established in section
35455D.15 and shall be used for the purposes of administering the
-8-1permit program.
2 Sec. 19. Section 455E.11, subsection 2, paragraph a,
3subparagraph (1), subparagraph division (f), Code 2017, is
4amended to read as follows:
5(f) The balance of the remaining funds shall be used by the
6department to develop do the following:
7(i) Developand implement demonstration projects for
8landfill alternatives to solid waste disposal including
9recycling programs. These funds may also be used to assist
10(ii) Assistplanning areas which have not been designated
11as environmental management systems in meeting the designation
12requirements of section 455J.3.
13(iii) Provide financial assistance for recycling programs
14described in section 455C.6 using revenue from fees imposed
15under section 455C.7.
16 Sec. 20. REPEAL. Chapter 455C, Code 2017, is repealed.
17 Sec. 21. REPEAL. Section 455D.21, Code 2017, is repealed.
18 Sec. 22. TRANSITION AND IMPLEMENTATION. The department
19of natural resources and the administrator of the keep Iowa
20beautiful board may begin preparations to implement this Act,
21including adoption of administrative rules, prior to January 1,
222018, to the extent necessary to transition from the beverage
23containers control law to full implementation of the provisions
24relating to the recycling program and litter control and
25community enhancement initiatives.
26 Sec. 23. EFFECTIVE DATE. This Act takes effect January 1,
272018, except as otherwise provided in this Act.
28 Sec. 24. EFFECTIVE DATE — TRANSITION AND
29IMPLEMENTATION. The section of this Act providing for
30transition and implementation takes effect July 1, 2017.
31EXPLANATION
32The inclusion of this explanation does not constitute agreement with
33the explanation’s substance by the members of the general assembly.
34This bill repeals current Code chapter 455C, the beverage
35containers control law, and replaces it with new statewide
-9-1recycling, litter control, and community enhancement programs.
2The bill requires an eligible applicant to submit a
3recycling program proposal to the department of natural
4resources on or before January 1, 2018, outlining its proposals
5regarding recycling, litter control, and community enhancement
6programs set forth in new Code sections 455C.5 and 455C.8.
7Eligible applicants without approved proposals will not be
8eligible for funding assistance from the new programs created
9in the new Code chapter.
10The bill deposits moneys into the solid waste account of the
11groundwater protection fund created in Code section 455E.11(2)
12for use by the recycling program collected through a recycling
13program fee imposed by the department of natural resources.
14The recycling program fee is a temporary assessment that will
15remain in place until $60 million is raised, at which point the
16recycling program fee is no longer imposed.
17The bill requires eligible applicants to submit
18litter control and community enhancement proposals to the
19administrator of the keep Iowa beautiful fund. The keep Iowa
20beautiful fund receives moneys from a new litter control and
21community enhancement fee collected by the department of
22revenue at a rate of fifteen-thousandths of 1 percent of the
23sales price of beverages in beverage containers.
24The bill authorizes the environmental protection commission
25to adopt rules pursuant to Code chapter 17A necessary to
26administer the new Code chapter 455C provisions.
27The bill modifies the title of the waste volume reduction
28and recycling fund created in Code section 455D.15 and updates
29references to that fund throughout the Code.
30The bill removes a statutory requirement that city councils
31or county boards of supervisors that provide for residential
32solid waste collection consider mandatory curbside collection
33of recyclable materials as a proposed ordinance.
34The bill takes effect January 1, 2018, except that the
35department of natural resources and the administrator of the
-10-1keep Iowa beautiful fund may begin implementation on July 1,
22017, to the extent necessary to transition from the beverage
3containers control law to full implementation of the provisions
4relating to the recycling program and litter control and
5community enhancement initiative.
-11-tr/rj