Section § 14570

Explanation

This law requires that by January 1, 2025, every dealer must have a clear sign, at least 10x15 inches, at each public entrance of their business. This sign should either provide the name and address of the nearest certified recycling location for redeeming empty beverage containers or explain how customers can redeem containers at the dealer's location. Options for redemption include all open cash registers or a specific on-site location identified on the sign.

(a)CA Public Resources Code § 14570(a) Every dealer shall post a clear and conspicuous sign of at least 10 inches by 15 inches at each public entrance to the dealer’s place of business that specifies one of the following:
(1)CA Public Resources Code § 14570(a)(1) The name and address, as provided by the department, of at least the certified recycling center, location, or locations, nearest to the dealer, that redeems all types of empty beverage containers consistent with Section 14571.
(2)CA Public Resources Code § 14570(a)(2) One of the following procedures for redeeming beverage containers is available, pursuant to Section 14578:
(A)CA Public Resources Code § 14570(a)(2)(A) Beverage containers may be redeemed at all open cash registers within this place of business.
(B)CA Public Resources Code § 14570(a)(2)(B) Beverage containers may be redeemed at one specific location on the dealer’s premises that is identified on the sign.
(b)CA Public Resources Code § 14570(b) This section shall become operative on January 1, 2025.

Section § 14571

Explanation

This law mandates that there must be at least one certified recycling center in each convenience zone that operates a minimum of 30 hours a week, with at least five hours outside of regular weekday hours. The Department can modify this requirement, allowing centers to operate fewer hours if they are in rural areas or necessary for community needs. These centers need a sign showing their operation schedule and the location of the nearest full-service center if applicable.

Certified recycling centers can also seek authorization for alternative operating schedules, especially small businesses or those impacted by emergencies. Centers using reverse vending machines or automated systems are considered operational if they're working properly and accept all types of containers.

Furthermore, dealers must redeem containers manually when machines are out of service. Special rules apply to centers using attendants and handling fees, particularly for those using advanced counting systems. Clear signage is required to inform the public about redemption processes, especially if machines are down.

(a)CA Public Resources Code § 14571(a) Except as otherwise provided in this chapter, there shall be at least one certified recycling center or location within every convenience zone that accepts and pays the refund value, if any, at one location for all types of empty beverage containers and is open for business during at least 30 hours per week with a minimum of five hours of operation occurring during periods other than from Monday to Friday, from 9 a.m. to 5 p.m.
(b)CA Public Resources Code § 14571(b) Notwithstanding subdivision (a), the department may require a certified recycling center to operate up to 50 percent of its hours of operation other than during 9 a.m. to 5 p.m.
(c)Copy CA Public Resources Code § 14571(c)
(1)Copy CA Public Resources Code § 14571(c)(1) Notwithstanding subdivisions (a) and (b), the department may certify a recycling center that will operate less than 30 hours per week, if either of the following conditions are met:
(A)CA Public Resources Code § 14571(c)(1)(A) The recycling center is in a rural region. For purposes of this subparagraph, “rural region” means a nonurban area identified by the department on an annual basis using the loan eligibility criteria of the Rural Housing Service of the United States Department of Agriculture, Rural Development Administration, or its successor agency. Those criteria include, but are not limited to, places, open country, cities, towns, or census designated places with populations that are less than 10,000 persons. The department may designate an area with a population of between 10,000 and 50,000 persons as a rural region, unless the area is identified as part of, or associated with, an urban area, as determined by the department on an individual basis.
(B)CA Public Resources Code § 14571(c)(1)(B) The needs of the community and the goals of this division will be best served by certification of the operation as a recycling center.
(2)CA Public Resources Code § 14571(c)(2) A recycling center that is certified pursuant to paragraph (1) shall post a sign indicating the location of the nearest recycling center that is open at least 30 hours per week and that will accept all material types.
(3)Copy CA Public Resources Code § 14571(c)(3)
(A)Copy CA Public Resources Code § 14571(c)(3)(A) Notwithstanding subdivisions (a) and (b), on or before July 1, 2022, the department shall develop and implement a process pursuant to which a certified recycling center can apply to the department for authorization to operate on an alternative schedule. For purposes of this paragraph, “alternative schedule” means a schedule other than the schedule specified in subdivision (a) or that may be required by the department pursuant to subdivision (b), including reduced hours of operation.
(B)CA Public Resources Code § 14571(c)(3)(A)(B) The department shall include in the process developed pursuant to subparagraph (A), at a minimum, all of the following:
(i)CA Public Resources Code § 14571(c)(3)(A)(B)(i) The form and content of the application required to be submitted to the department by a certified recycling center seeking to operate on an alternative schedule, and the manner in which the application shall be submitted to the department.
(ii)CA Public Resources Code § 14571(c)(3)(A)(B)(ii) The criteria used by the department to authorize a certified recycling center to operate on an alternative schedule, which shall include, but are not limited to, providing flexibility for certified recycling centers that are owned or operated by small or family-owned businesses and centers that are experiencing operational challenges due to natural disasters or states of emergency, as determined by the department.
(iii)CA Public Resources Code § 14571(c)(3)(A)(B)(iii) A minimum number of hours per week, per month, or per year that a recycling center may be open for business and still meet the requirements of subdivision (d).
(iv)CA Public Resources Code § 14571(c)(3)(A)(B)(iv) Any other requirements the department deems necessary for a certified recycling center to operate on an alternative schedule and still meet the requirements of subdivision (d).
(d)CA Public Resources Code § 14571(d) Before establishing operating hours for a certified recycling center pursuant to subdivision (c), the department shall make a determination that this action is necessary to further the goals of this division and that the proposed operating hours will not significantly decrease the ability of consumers to conveniently return beverage containers for the refund value to a certified recycling center redeeming all material types.
(e)Copy CA Public Resources Code § 14571(e)
(1)Copy CA Public Resources Code § 14571(e)(1) For purposes of this section, if a certified recycling center or location is staffed and is not a reverse vending machine or a bag drop recycling center, the certified recycling center is “open for business” if all of the following requirements are met:
(A)CA Public Resources Code § 14571(e)(1)(A) An employee of the certified recycling center or location is present during the hours of operation and available to the public to accept containers and to pay the refund values.
(B)CA Public Resources Code § 14571(e)(1)(B) In addition to the sign specified in subdivision (j), a sign having a minimum size of two feet by two feet is posted at the certified recycling center or location indicating that the certified recycling center or location is open. Where allowed by local zoning requirements or where zoning restrictions apply, the sign shall be of the maximum allowable size.
(C)CA Public Resources Code § 14571(e)(1)(C) The prices paid, by weight or per container, are posted at the location.
(2)Copy CA Public Resources Code § 14571(e)(2)
(A)Copy CA Public Resources Code § 14571(e)(2)(A) Notwithstanding paragraph (1), for purposes of this section, until January 1, 2023, a certified recycling center or location that is not a reverse vending machine or a bag drop recycling center is “open for business” if the certified recycling center or location receives written authorization from the department to operate pursuant to an appointment system during the hours of operation and the certified recycling center or location meets both of the following requirements:
(i)CA Public Resources Code § 14571(e)(2)(A)(i) The certified recycling center or location ensures that an employee of the certified recycling center or location is present during all appointments and available to accept containers and to pay the refund values.
(ii)CA Public Resources Code § 14571(e)(2)(A)(ii) The certified recycling center or location meets the requirements of subparagraphs (B) and (C) of paragraph (1).
(B)CA Public Resources Code § 14571(e)(2)(A)(B) The department shall authorize a certified recycling center or location to operate pursuant to an appointment system under subparagraph (A) only if the department determines that high customer demand, weather, or public health and safety concerns warrant the implementation of an appointment system at the certified recycling center or location.
(f)Copy CA Public Resources Code § 14571(f)
(1)Copy CA Public Resources Code § 14571(f)(1) Except as provided in subdivisions (g) and (i), for the purpose of this section, if the recycling center consists of reverse vending machines or other unmanned automated equipment, or is a bag drop recycling center, the center is “open for business” if the equipment or bag drop is properly functioning, accepting all types of empty beverage containers at the recycling location, and paying posted refund values no less than the minimums required by this division.
(2)CA Public Resources Code § 14571(f)(2) A recycling center that meets the requirements in paragraph (1) shall not be required to have an employee present during the hours of operation in order to be “open for business.”
(g)CA Public Resources Code § 14571(g) If a recycling center consists of reverse vending machines or other automated equipment, or is a bag drop recycling center, the recycling center is “open for business” if the equipment or bag drop is properly functioning, and accepting all types of empty beverage containers at one physical recycling location within the recycling location.
(h)CA Public Resources Code § 14571(h) Whenever a recycling center that is a reverse vending machine is not “open for business” during the hours of operation required and posted pursuant to this section and Section 14570, the dealer that is hosting the reverse vending machine at its place of business shall redeem all empty beverage container types at all open cash registers or one designated location at the store, as specified on the sign required pursuant to subdivision (j).
(i)Copy CA Public Resources Code § 14571(i)
(1)Copy CA Public Resources Code § 14571(i)(1) A recycling center that is a reverse vending machine or a bag drop recycling center that accepts all types of empty beverage containers except those that are three or more liters in volume and those that are pouches is open for business if it does both of the following:
(A)CA Public Resources Code § 14571(i)(1)(A) Provides an attendant to accept all types of empty beverage containers for no less than 10 hours per week, with no less than five of those hours on a weekend day between the hours of 9 a.m. and 5 p.m.
(B)CA Public Resources Code § 14571(i)(1)(B) Is operational and functioning properly for no less than 70 hours per week.
(2)CA Public Resources Code § 14571(i)(2) A handling fee shall not be paid to a recycling center described in paragraph (1) if the recycling center is located in a convenience zone in which a preexisting certified recycling center is located. Notwithstanding paragraph (1) of subdivision (c) of Section 14585, a preexisting certified recycling center located in the same convenience zone as a recycling center described in paragraph (1) shall continue to be eligible to receive handling fee payments.
(3)CA Public Resources Code § 14571(i)(3) The department shall pay handling fees to a recycling center described in paragraph (1), and the recycling center shall pay refund values, on the basis of the number of beverage containers redeemed through the reverse vending machine or bag drop, and not on the basis of weight. The department shall determine the method of certifying the validity of the number of beverage containers counted by the reverse vending machine or bag drop.
(j)CA Public Resources Code § 14571(j) In addition to the sign specified in subparagraph (B) of paragraph (1) of subdivision (e), each reverse vending machine shall be posted with a clear and conspicuous sign on or near the reverse vending machine that states that beverage containers may be redeemed by the host dealer if the machine is nonoperational at any time during the required hours of operation, pursuant to subdivision (h). The department shall determine the size and location of the sign and the message required to be printed on the sign.

Section § 14571.1

Explanation

Every year by January 1st, the department must identify all convenience zones across the state, including those in areas that don't have enough recycling facilities. They have to create a map showing where these convenience zones are located.

On or before January 1 of each year, the department shall, on a statewide basis, designate all convenience zones as of that date, including convenience zones in underserved areas, and shall prepare a map or maps showing these convenience zones.

Section § 14571.2

Explanation

This law requires the department to help dealers and recyclers set up certified recycling sites in designated areas called convenience zones. They offer support by sharing information with businesses and organizations interested in recycling. The department connects dealers with potential recyclers and vice versa, and informs them about available grants, advertising funds, and other resources. They also advise recyclers on how to maintain a neat and efficient recycling operation.

The department shall continuously assist dealers and recyclers to establish certified recycling locations within each convenience zone. This assistance includes, but is not limited to, providing information to companies and organizations interested in operating recycling in the convenience zone; providing dealers with names of prospective recyclers for the convenience zone and providing recyclers with the names of dealers in need of a recycler for a convenience zone; providing dealers and recyclers with information on grants, advertising funds, and other resources available; and providing recyclers with advice regarding appearance and image of the recycling center and the efficient handling and transportation of recycled beverage containers.

Section § 14571.3

Explanation

This law requires the department to help certified recyclers better serve the public by offering advice on improving public participation in recycling, choosing the best location and image for recycling centers, and reducing costs while optimizing resources. The department must also conduct surprise inspections of recycling centers to ensure they comply with legal requirements and can impose penalties for any violations found.

(a)CA Public Resources Code § 14571.3(a) The department shall continuously assist any certified recycler to achieve greater service to the public in an economical and cost-effective manner. This assistance shall include, but not be limited to, advice on all of the following:
(1)CA Public Resources Code § 14571.3(a)(1) Methods to enhance public participation in recycling.
(2)CA Public Resources Code § 14571.3(a)(2) The most beneficial location, siting, and image of a recycling location.
(3)CA Public Resources Code § 14571.3(a)(3) Methods to reduce costs and optimize efficiencies of existing resources.
(b)CA Public Resources Code § 14571.3(b) The department shall conduct regular, unannounced inspections of certified recycling centers for the purpose of determining that the requirements of this division are satisfied. The department shall assess civil penalties pursuant to Section 14591.1 for violations at certified recycling centers.

Section § 14571.4

Explanation

This law mandates that a certified operator must run the Pacific Beach Mobile Recycling Program in the Pacific Beach area of San Diego County. The program should cover all convenience zones within that area.

To be recognized as serving all convenience zones, the recycling center must operate weekly at multiple locations, meeting specific conditions, such as being open at least eight hours per day and accepting all types of eligible containers for refunds.

All local dealers must display signs about recycling center locations and hours. Approved centers can become certified and receive handling fees and processing payments.

If needed, the department can enforce or change this rule through emergency regulations to protect public welfare, which would last 180 days.

(a)Copy CA Public Resources Code § 14571.4(a)
(1)Copy CA Public Resources Code § 14571.4(a)(1) The department shall certify one operator to establish the Pacific Beach Mobile Recycling Program that incorporates all convenience zones in the Pacific Beach area of San Diego County.
(2)CA Public Resources Code § 14571.4(a)(2) For the purposes of this section, “the Pacific Beach area of San Diego County” means the area designated in the Pacific Beach Community Plan.
(b)CA Public Resources Code § 14571.4(b) Notwithstanding Sections 14570 and 14571, all convenience zones within the Pacific Beach area of San Diego County shall be considered served if both of the following conditions are met:
(1)CA Public Resources Code § 14571.4(b)(1) The recycling center operator meets all of the following conditions:
(A)CA Public Resources Code § 14571.4(b)(1)(A) The center is open for business at least once each week at a number of locations equal to the number of convenience zones in the Pacific Beach area of San Diego County as determined by the department annually, three of which are within existing convenience zones in the Pacific Beach area of San Diego County.
(B)CA Public Resources Code § 14571.4(b)(1)(B) The center is open for business at least eight hours per day at each location.
(C)CA Public Resources Code § 14571.4(b)(1)(C) The center agrees to accept, and pay the refund value for, all eligible beverage container types.
(D)CA Public Resources Code § 14571.4(b)(1)(D) The center is certified by the department for operation in the number of locations equal to the number of convenience zones in the Pacific Beach area of San Diego County, as determined by the department.
(2)CA Public Resources Code § 14571.4(b)(2) All dealers within the Pacific Beach area of San Diego County post a clear and conspicuous sign of at least 10 inches by 15 inches at each public entrance to the dealer’s place of business, indicating the location, hours, and day of operation for each recycling location within the Pacific Beach area.
(c)CA Public Resources Code § 14571.4(c) A recycling center operator approved by the department, that meets the conditions prescribed in paragraphs (1) and (2) of subdivision (b), shall be designated a certified recycling center and shall be eligible to apply for handling fees pursuant to Section 14585 and to receive from processors the amounts specified in subdivision (a) of Section 14573.5 for refund values, administrative costs, and processing payments.
(d)CA Public Resources Code § 14571.4(d) If the department determines that it is necessary to adopt or revise regulations to implement this section, the regulations shall be adopted or revised as emergency regulations. The Office of Administrative Law shall consider these emergency regulations to be necessary for the immediate preservation of the public peace, health, and safety, and the general welfare for the purposes of Section 11349.6 of the Government Code. Notwithstanding the 120-day period provided for in subdivision (e) of Section 11346.1 of the Government Code, the emergency regulations shall be repealed 180 days from the effective date of the regulations.

Section § 14571.5

Explanation

This section gives the department the authority to adjust convenience zones in rural areas to improve access to recycling. They can expand a zone up to a five-mile radius if it will be served by a single certified recycling center, especially if there's currently no service. Alternatively, they can create a new zone without a supermarket, provided there are at least two businesses with combined sales of $2 million or more in close proximity, and it's served by an existing recycling center. If such a recycling center stops operating, the zone will dissolve until a new center is established and a petition for a new zone is filed.

The department may, in a rural region, as identified pursuant to subparagraph (A) of paragraph (1) of subdivision (c) of Section 14571, upon petition by an interested person, do either of the following:
(a)Copy CA Public Resources Code § 14571.5(a)
(1)Copy CA Public Resources Code § 14571.5(a)(1) Increase a convenience zone to include the area up to a five-mile radius of a supermarket, if the expanded convenience zone would then be served by a single existing certified recycling center or location.
(2)CA Public Resources Code § 14571.5(a)(2) This subdivision applies only to a convenience zone that is otherwise not being served by a certified recycling center or location meeting the requirements of Section 14571 or is exempted by the department pursuant to Section 14571.8.
(b)Copy CA Public Resources Code § 14571.5(b)
(1)Copy CA Public Resources Code § 14571.5(b)(1) Designate a convenience zone pursuant to Section 14571.1 in an area where there is no supermarket, but with two or more dealers located within a one-mile radius of each other, and that meets all of the following criteria:
(A)CA Public Resources Code § 14571.5(b)(1)(A) The dealers in that area have combined gross annual sales of two million dollars ($2,000,000) or more, as certified by the petitioner in an affidavit filed with the petition.
(B)CA Public Resources Code § 14571.5(b)(1)(B) The convenience zone encompasses a three-mile radius, with the center of the zone established at the dealer, located closest to the existing recycling center specified in subparagraph (D).
(C)CA Public Resources Code § 14571.5(b)(1)(C) The convenience zone does not overlap any other existing convenience zone.
(D)CA Public Resources Code § 14571.5(b)(1)(D) The convenience zone is served by a single existing certified recycling center.
(2)CA Public Resources Code § 14571.5(b)(2) The department shall identify the dealer locations only for the purpose of providing a reference point in the establishment of the convenience zone pursuant to this subdivision.
(3)CA Public Resources Code § 14571.5(b)(3) If the existing recycling location in a convenience zone designated pursuant to this subdivision ceases operations, the convenience zone shall also cease to exist until a new recycling location is established, and the department is petitioned by an interested person to designate a convenience zone.

Section § 14571.7

Explanation

If a recycling location stops operating in a convenience zone, the department will inform all the nearby stores that they need to open a new recycling location within 60 days. If no location is established within 30 days of this notice, the department will remind the stores, and it becomes their responsibility to get a new location set up.

However, if the area qualifies for an exemption under another rule, the department may decide that a new location isn't necessary. If the area doesn't qualify for an exemption, the stores still need to set up a new recycling location as initially required.

(a)CA Public Resources Code § 14571.7(a) Except as provided in subdivision (b), in any convenience zone where a recycling location or locations were initially established, but where the location or locations cease to operate in accordance with Section 14571, the department shall notify all dealers within that convenience zone that a recycling location is required to be established within 60 days. If, within 30 days of the notification, a recycling location that satisfies the requirements of Section 14571 has not been established, the department shall notify all dealers within that zone, and one or more dealers within that zone shall establish, or cause to be established, a recycling location.
(b)CA Public Resources Code § 14571.7(b) In any convenience zone where a recycling location or locations were initially established, but where the location or locations cease to operate in accordance with Section 14571, the department shall determine, pursuant to Section 14571.8, if the convenience zone is eligible for an exemption. If the convenience zone meets all of the requirements for an exemption pursuant to Section 14571.8, the department shall grant one exemption. If the department determines that a convenience zone is not eligible for an exemption pursuant to subdivision (a) and Section 14571.8, the department shall notify all dealers within that convenience zone that a recycling location is required to be established within 60 days. If, within 30 days of the notification, a recycling location that satisfies the requirements of Section 14571 has not been established, the department shall notify all dealers within that zone, and one or more dealers within that zone shall establish, or cause to be established, a recycling location.

Section § 14571.8

Explanation

This law relates to recycling locations in California, specifically convenience zones near dealers. It sets rules barring post-1987 lease agreements from hindering recycling site establishment. A director can exempt a convenience zone from needing a recycling center, but must gather public input first. Exemptions depend on factors like proximity to recycling centers, existing curbside recycling, or lease and zoning troubles predating 1987. Some zones can be exempt if they've recycled fewer than 60,000 containers monthly over the past year or if another nearby center handles recycling. Only 15% of zones can be exempt. Exemptions can be revoked if the situation changes or mistakes were made in granting them. If revoked, dealers in the zone will be notified quickly, unless a center starts operating nearby.

(a)CA Public Resources Code § 14571.8(a) No lease entered into by a dealer after January 1, 1987, may contain a leasehold restriction that prohibits or results in the prohibition of the establishment of a recycling location.
(b)CA Public Resources Code § 14571.8(b) The director may grant an exemption from the requirements of Section 14571 for an individual convenience zone only after the department solicits public testimony on whether or not to provide an exemption from Section 14571. The solicitation process shall be designed by the department to ensure that operators of recycling centers, dealers, and members of the public in the jurisdiction affected by the proposed exemption are aware of the proposed exemption. After evaluation of the testimony and any field review conducted, the department shall base a decision to exempt a convenience zone on one, or any combination, of the following factors:
(1)CA Public Resources Code § 14571.8(b)(1) The exemption will not significantly decrease the ability of consumers to conveniently return beverage containers for the refund value to a certified recycling center redeeming all material types.
(2)CA Public Resources Code § 14571.8(b)(2) Except as provided in paragraph (5), the nearest certified recycling center is within a reasonable distance of the convenience zone being considered from exemption.
(3)CA Public Resources Code § 14571.8(b)(3) The convenience zone is in the area of a curbside recycling program that meets the criteria specified in Section 14509.5.
(4)CA Public Resources Code § 14571.8(b)(4) The requirements of Section 14571 cannot be met in a particular convenience zone due to local zoning or the dealer’s leasehold restrictions for leases in effect on January 1, 1987, and the local zoning or leasehold restrictions are not within the authority of the department and the dealer. However, any lease executed after January 1, 1987, shall meet the requirements specified in subdivision (a).
(5)CA Public Resources Code § 14571.8(b)(5) The convenience zone has redeemed less than 60,000 containers per month for the prior 12 months and, notwithstanding paragraph (2), a certified recycling center is located within one mile of the convenience zone that is the subject of the exemption.
(c)CA Public Resources Code § 14571.8(c) The department shall review each convenience zone in which a certified recycling center was not located on January 1, 1996, to determine the eligibility of the convenience zone under the exemption criteria specified in subdivision (b).
(d)CA Public Resources Code § 14571.8(d) The total number of exemptions granted by the director under this section shall not exceed 15 percent of the total number of convenience zones identified pursuant to this section.
(e)CA Public Resources Code § 14571.8(e) The department may, on its own motion, or upon petition by any interested person, revoke a convenience zone exemption if either of the following occurs:
(1)CA Public Resources Code § 14571.8(e)(1) The condition or conditions that caused the convenience zone to be exempt no longer exists, and the department determines that the criteria for an exemption specified in this section are not presently applicable to the convenience zone.
(2)CA Public Resources Code § 14571.8(e)(2) The department determines that the convenience zone exemption was granted due to an administrative error.
(f)CA Public Resources Code § 14571.8(f) If an exemption is revoked and a recycling center is not certified and operational in the convenience zone, the department shall, within 10 days of the date of the decision to revoke, serve all dealers in the convenience zone with the notice specified in subdivision (a) of Section 14571.7.
(g)CA Public Resources Code § 14571.8(g) An exemption shall not be revoked when a recycling center becomes certified and operational within an exempt convenience zone unless either of the events specified in paragraphs (1) and (2) of subdivision (e) occurs.

Section § 14571.9

Explanation

This law allows for the approval of up to 10 recycling pilot projects until 2032 to improve beverage container recycling in underserved areas. These pilot projects aim to provide new, convenient recycling opportunities, especially in unserved and rural zones.

Pilot project operators must meet specific requirements and offer services that traditional recycling centers do not, such as flexible hours and exclusive collection from consumers. There's also a requirement for clear signage at nearby stores about the pilot project locations. Additionally, if a pilot project stops, the local dealers must revert to previous recycling compliance rules.

The department can issue temporary operating certificates to these pilot projects, which have to meet certain conditions to maintain approval. They also have the power to revoke these if rules are not followed. The department might also set up toll-free numbers and websites for information dissemination.

The law outlines that these projects can include stationary drop-offs or mobile collections. Proposals for pilot projects should include key documents and meet defined criteria. Finally, the department may enact emergency regulations to oversee these projects, and the ability to run them starts in 2025 and ends in 2034.

(a)Copy CA Public Resources Code § 14571.9(a)
(1)Copy CA Public Resources Code § 14571.9(a)(1) Until January 1, 2032, the department may approve up to 10 recycling pilot projects that meet the requirements of this section.
(2)CA Public Resources Code § 14571.9(a)(2) The pilot projects, which shall be submitted by applicant jurisdictions, shall be designed to improve redemption opportunities in unserved convenience zones. It is the intent of the Legislature to create new, convenient recycling opportunities to improve consumer redemption of eligible beverage containers and increase recycling rates in jurisdictions served by pilot projects and to provide recycling opportunities to improve consumer redemption of eligible containers in pilot project areas, including in rural areas.
(3)CA Public Resources Code § 14571.9(a)(3) Unless otherwise specified in or authorized by the department under this section, a pilot project operator shall be subject to all requirements imposed on recycling centers as specified in this division and any implementing regulations, except for the requirements specified in Sections 14570 and 14571.
(4)CA Public Resources Code § 14571.9(a)(4) If a pilot project ends before January 1, 2032, the department may consider additional pilot project proposals, but not more than 10 pilot projects may operate at the same time.
(b)Copy CA Public Resources Code § 14571.9(b)
(1)Copy CA Public Resources Code § 14571.9(b)(1) Notwithstanding Sections 14570, 14571, and 14578, until January 1, 2027, a convenience zone that falls within the area of a pilot project approved by the department under this section shall be deemed served if the pilot project is operational.
(2)Copy CA Public Resources Code § 14571.9(b)(2)
(A)Copy CA Public Resources Code § 14571.9(b)(2)(A) A dealer within the jurisdiction of a pilot project shall post a clear and conspicuous sign of at least 10 inches by 15 inches at each public entrance to the dealer’s place of business that specifies the name of the pilot project location nearest to the dealer, as provided by the department, the days and hours of operation of the pilot project location, and the toll-free telephone number established by the department under subparagraph (B). This information shall be kept accurate and up to date.
(B)CA Public Resources Code § 14571.9(b)(2)(A)(B) The department shall establish a toll-free telephone number and an internet website to disseminate information regarding beverage container recycling opportunities.
(3)CA Public Resources Code § 14571.9(b)(3) If a pilot project ceases operation or the pilot project’s certification has been revoked by the department, a dealer in the convenience zone served by the pilot project shall comply with Sections 14570, 14571, and 14578. The department shall inform all dealers within a convenience zone of any change in status of a pilot project serving that convenience zone within 10 calendar days.
(c)CA Public Resources Code § 14571.9(c) The requirements for a pilot project shall include, but not be limited to, all of the following:
(1)CA Public Resources Code § 14571.9(c)(1) A pilot project shall serve one of the following:
(A)CA Public Resources Code § 14571.9(c)(1)(A) At least three unserved convenience zones.
(B)CA Public Resources Code § 14571.9(c)(1)(B) One or more convenience zones impacting a total of at least 30 dealers in unserved convenience zones.
(C)CA Public Resources Code § 14571.9(c)(1)(C) A rural region.
(2)CA Public Resources Code § 14571.9(c)(2) A pilot project shall be in a jurisdiction that, as of the effective date of the pilot project application, meets at least one of the following conditions:
(A)CA Public Resources Code § 14571.9(c)(2)(A) Had at least six unserved convenience zones.
(B)CA Public Resources Code § 14571.9(c)(2)(B) Had 75 percent of the convenience zones in the jurisdiction unserved.
(C)CA Public Resources Code § 14571.9(c)(2)(C) Is located in a rural region.
(3)CA Public Resources Code § 14571.9(c)(3) A pilot project shall not establish a location for redeeming a beverage container for its refund value that is outside of the pilot project area.
(4)CA Public Resources Code § 14571.9(c)(4) A pilot project recycler may be located anywhere within the pilot project area.
(5)CA Public Resources Code § 14571.9(c)(5) A pilot project shall be served only by a pilot project recycler that meets all of the following requirements:
(A)CA Public Resources Code § 14571.9(c)(5)(A) The pilot project recycler shall be open a minimum of one weekday per week for at least eight hours.
(B)CA Public Resources Code § 14571.9(c)(5)(B) In addition to the requirement in subparagraph (C), the pilot project recycler shall be open at least five hours per week during periods other than from Monday through Friday from 9 a.m. to 5 p.m.
(C)CA Public Resources Code § 14571.9(c)(5)(C) The pilot project recycler shall be open at least eight hours per week during the weekend.
(D)CA Public Resources Code § 14571.9(c)(5)(D) The pilot project recycler shall accept and pay the refund value for all eligible beverage container types.
(E)CA Public Resources Code § 14571.9(c)(5)(E) The pilot project operator shall notify the department in writing 10 calendar days before any change of the location where redeemed empty beverage containers are stored.
(F)CA Public Resources Code § 14571.9(c)(5)(F) The pilot project recycler shall only redeem eligible empty beverage container material purchased from consumers for recycling, and shall not accept material from any other certified or noncertified person or entity, including, but not limited to, recycling centers, dropoff or collection programs, curbside programs, and processors.
(G)CA Public Resources Code § 14571.9(c)(5)(G) The pilot project operator shall keep separate transaction records for each location within the pilot project, and in the case of mobile collection programs, separate transaction records for each location served by the mobile unit.
(6)CA Public Resources Code § 14571.9(c)(6) A processor shall not issue an authorization to cancel under subdivision (b) of Section 2110 of Title 14 of the California Code of Regulations to a pilot project recycler.
(7)CA Public Resources Code § 14571.9(c)(7) Additional requirements as deemed necessary by the department.
(d)CA Public Resources Code § 14571.9(d) A pilot project established pursuant to this section may provide stationary dropoff locations or mobile collection programs.
(e)CA Public Resources Code § 14571.9(e) A jurisdiction that opts to be served by a pilot project shall submit its pilot project proposal to the department for approval. The proposal shall include all of the following elements:
(1)CA Public Resources Code § 14571.9(e)(1) A map of the pilot project area, including intended locations for pilot project recyclers.
(2)CA Public Resources Code § 14571.9(e)(2) A list of proposed operators of pilot project recyclers.
(3)CA Public Resources Code § 14571.9(e)(3) Contact information for the jurisdiction.
(4)CA Public Resources Code § 14571.9(e)(4) Planned dates of operation.
(5)CA Public Resources Code § 14571.9(e)(5) A description of how the pilot project will meet the requirements of this section.
(6)CA Public Resources Code § 14571.9(e)(6) Additional elements as determined by the department.
(f)CA Public Resources Code § 14571.9(f) The department may issue probationary certificates of operation to pilot project recyclers participating in an approved pilot project. A certificate issued under this section shall be valid, and shall specify that the certificate is valid, for a period of not more than five years or until the end of the pilot project, whichever comes first. Notwithstanding certification requirements imposed by this division or implementing regulations, the following application review timelines shall apply to pilot projects:
(1)CA Public Resources Code § 14571.9(f)(1) The department shall notify each applicant and the appropriate pilot project contact within 30 calendar days of receipt of the proposal, or receipt of additional information if the proposal was initially deemed incomplete, that the proposal for certification is either complete and accepted for further review or incomplete and the reasons for incompleteness.
(2)CA Public Resources Code § 14571.9(f)(2) Upon determining that a proposal is complete, the department shall notify the applicant and appropriate pilot project contact in writing within 30 calendar days that the application is either approved with probationary status or denied and the reasons for denial.
(g)CA Public Resources Code § 14571.9(g) In approving pilot projects, the department shall consider all of the following factors:
(1)CA Public Resources Code § 14571.9(g)(1) The number of unserved convenience zones that will be served by the pilot project.
(2)CA Public Resources Code § 14571.9(g)(2) The total number of hours per week the pilot project recycler will operate.
(3)CA Public Resources Code § 14571.9(g)(3) The total number of locations that will be served under the pilot project.
(4)CA Public Resources Code § 14571.9(g)(4) Whether the jurisdiction has actively prevented the siting or operation of a certified recycling center at a supermarket site.
(5)CA Public Resources Code § 14571.9(g)(5) The geographic distribution of jurisdictions proposing a pilot project.
(6)CA Public Resources Code § 14571.9(g)(6) Potential impacts to existing certified recycling centers.
(7)CA Public Resources Code § 14571.9(g)(7) Additional factors deemed relevant by the department.
(h)Copy CA Public Resources Code § 14571.9(h)
(1)Copy CA Public Resources Code § 14571.9(h)(1) The department may revoke the approval of a pilot project or the associated probationary certification of a pilot project recycler participating in the pilot project, or both, at any time if the jurisdiction or pilot project operator fails to meet the conditions outlined in the department’s approval of the application or violates this division or a regulation adopted under this division, except as to violations of the division or regulations that are inconsistent with the operation of an approved pilot project. If the department revokes a probationary certification of a pilot project recycler, the department may require the jurisdiction or the pilot project operator to take the steps necessary to ensure that the pilot project achieves its goals consistent with the approved pilot project application.
(2)CA Public Resources Code § 14571.9(h)(2) If the approval of a pilot project is revoked, the review process described in Section 14571.7 shall apply to each convenience zone that was a part of the pilot project.
(i)Copy CA Public Resources Code § 14571.9(i)
(1)Copy CA Public Resources Code § 14571.9(i)(1) Notwithstanding paragraph (1) of subdivision (c) of Section 14585, a pilot project recycler that has been certified by the department on a probationary basis under an approved pilot project shall be eligible to apply for handling fees under Section 14585 and to receive from certified processors the amounts specified in subdivision (a) of Section 14573.5 for refund values, administrative costs, and processing payments.
(2)CA Public Resources Code § 14571.9(i)(2) Notwithstanding paragraph (1) of subdivision (c) of Section 14585, the existence of a pilot project recycler shall not affect the handling fee eligibility of a recycling center.
(3)CA Public Resources Code § 14571.9(i)(3) For purposes of handling fee eligibility, a pilot project recycler may be located anywhere within a pilot project area.
(j)CA Public Resources Code § 14571.9(j) The department may adopt emergency regulations to implement this section. Emergency regulations, if adopted, shall be adopted in accordance with Chapter 3.5 (commencing with Section 11340) of Part 1 of Division 3 of Title 2 of the Government Code, and for the purposes of that chapter, including Section 11349.6 of the Government Code, the adoption of these regulations is an emergency and shall be considered by the Office of Administrative Law as necessary for the immediate preservation of the public peace, health and safety, and general welfare. Emergency regulations adopted under this section shall be filed with, but not be repealed by, the Office of Administrative Law and shall remain in effect until amended or repealed by the department or January 1, 2034, whichever comes first.
(k)CA Public Resources Code § 14571.9(k) This section shall become operative on January 1, 2025.
(l)CA Public Resources Code § 14571.9(l) This section shall become inoperative on January 1, 2034, and, as of January 1, 2034, is repealed.

Section § 14572

Explanation

This law outlines the rules for certified recycling centers in California regarding the acceptance and refund payment for empty beverage containers. Certified recycling centers must accept containers from consumers and pay a refund, typically based on weight. Since 2013, for consumer-redeemed containers, payments must follow a specific rate based on weight. Centers in operation before 1986 that refused specific container types may continue to do so but won't receive certain fees unless they accept all container types at supermarket sites. The law details procedures for these centers to recertify the types of containers they accept. Only certified centers can pay refunds, and payments to noncertified recyclers must not exceed current scrap value. Refunds do not apply to containers from out of state and existing curbside programs are not affected.

(a)Copy CA Public Resources Code § 14572(a)
(1)Copy CA Public Resources Code § 14572(a)(1) Except as provided in subdivision (b), a certified recycling center shall accept from any consumer or dropoff or collection program any empty beverage container, and shall pay to the consumer or dropoff or collection program the refund value of the beverage container.
(2)CA Public Resources Code § 14572(a)(2) Except as provided in paragraph (3), the recycling center may pay the refund value based on the weight of returned containers.
(3)CA Public Resources Code § 14572(a)(3) On and after September 1, 2013, for beverage containers redeemed by consumers, a certified recycling center shall pay the refund value using the applicable segregated rate, as defined in paragraph (43) of subsection (a) of Section 2000 of Title 14 of the California Code of Regulations, as that section read on September 1, 2013, which shall be based on the weight of the redeemed beverage containers.
(b)CA Public Resources Code § 14572(b) Any recycling center or processor that was in existence on January 1, 1986, and that refused, as of January 1, 1986, to accept at a particular location a certain type of empty beverage container may continue to refuse to accept at the location the type or types of empty beverage containers that the recycling center or processor refused to accept as of January 1, 1986. A certified recycling center that refuses, pursuant to this subdivision, to accept a certain type or types of empty beverage containers is not eligible to receive handling fees unless the center agrees to accept all types of empty beverage containers and is a supermarket site. This subdivision does not preclude the certified recycling center from receiving a handling fee for beverage containers redeemed at supermarket sites that do accept all types of containers.
(c)CA Public Resources Code § 14572(c) The department shall develop procedures by which recycling centers and processors that meet the criteria of subdivision (b) may recertify to change the material types accepted.
(d)Copy CA Public Resources Code § 14572(d)
(1)Copy CA Public Resources Code § 14572(d)(1) Only a certified recycling center may pay the refund value to consumers or dropoff or collection programs. A person shall not pay a noncertified recycler for empty beverage containers an amount that exceeds the current scrap value for each container type, which shall be determined in the following manner:
(A)CA Public Resources Code § 14572(d)(1)(A) For a plastic or glass beverage container, the current scrap value shall be determined by the department.
(B)CA Public Resources Code § 14572(d)(1)(B) For an aluminum beverage container, the current scrap value shall be not greater than the amount paid to the processor for that aluminum beverage container, on the date the container was purchased, by the location of end use, as defined in the regulations of the department.
(2)CA Public Resources Code § 14572(d)(2) A person shall not receive or retain, for empty beverage containers that come from out of state, any refund values, processing payments, or administrative fees for which a claim is made to the department against the fund.
(3)CA Public Resources Code § 14572(d)(3) Paragraph (1) does not affect curbside programs under contract with cities or counties.

Section § 14572.1

Explanation

This law says that starting January 1, 2025, businesses that collect empty beverage containers from people for recycling purposes won’t have to worry about the daily limits on the amount they can transport when they take these containers to a recycling center or processor.

(a)CA Public Resources Code § 14572.1(a) A dealer delivering empty beverage containers received from the public to a certified recycling center or processor for recycling pursuant to subparagraph (C) of paragraph (1) of subdivision (a) of Section 14578 is not subject to the daily load limits established pursuant to subdivision (f) of Section 2535 of Title 14 of the California Code of Regulations.
(b)CA Public Resources Code § 14572.1(b) This section shall become operative on January 1, 2025.

Section § 14572.5

Explanation

If you have empty refillable beer or malt beverage containers, a certified recycling center will take them and pay you a deposit. Then, the recycling center will return these containers to the distributor or sell them to someone else. The distributor or purchaser will pay the deposit back to the recycling center and they also need to agree on a handling fee for managing these returns.

A certified recycling center, other than a reverse vending machine, shall accept from any consumer or any dropoff or collection program and pay the applicable deposit for any refillable empty beer and other malt beverage container. The certified recycling center shall return, or cause to be returned, the refillable beer and other malt beverage container to the beer and other malt beverage distributor or any willing purchaser, who shall then pay the deposit to the center. The beer and other malt beverage distributor or other purchaser shall also negotiate a handling fee with the recycling center for the return of these containers.

Section § 14573

Explanation

This law states that when a processor receives empty beverage containers from certified recycling centers or other collection programs, they can claim a payment from the department. This payment includes the refund value of the containers, an additional 2.5% for administrative costs, and a processing payment as outlined in another section. The department has to make this payment within two days of being notified about the delivery, or within a timeframe it considers necessary. If the payment isn't made within 20 days of processing the claim, the processor is entitled to interest at the current prime rate.

(a)CA Public Resources Code § 14573(a) The department shall pay to a processor, for every empty beverage container received by the processor from a certified recycling center, curbside program, or dropoff or collection program, upon presentation of a completed processor invoice accompanied by a shipping report from the supplier of the material, in the form adopted by the department, the sum of all of the following amounts:
(1)CA Public Resources Code § 14573(a)(1) The refund value.
(2)CA Public Resources Code § 14573(a)(2) Two and one-half percent of the refund value for administrative costs.
(3)CA Public Resources Code § 14573(a)(3) The processing payment established pursuant to Section 14575.
(b)CA Public Resources Code § 14573(b) The department shall make the payment required in subdivision (a) within two working days of the date that the department is notified of the delivery or within the time determined by the department to be necessary and adequate. If the payment is not made by the Controller to the certified processor within 20 working days of receipt of the claims schedule, the Controller shall pay the processor interest at the current prime lending rate for any period in excess of these 20 working days.

Section § 14573.1

Explanation

This law mandates that California's recycling centers located in rural areas receive additional payments of $60 per ton for processing glass containers. These payments help cover transportation, operations, and logistics costs. If there aren't enough funds to cover all the payments including those under other sections, this payment will be reduced first.

The funding is continuously available and isn't limited by fiscal year restrictions. However, this provision is temporary and will be repealed on January 1, 2030.

(a)Copy CA Public Resources Code § 14573.1(a)
(1)Copy CA Public Resources Code § 14573.1(a)(1) In addition to other payments authorized by this division, the department shall pay to a recycling center that is a rural region recycler, as defined in Section 14525.5.1, or that is located in a rural county, as defined in Section 40184, a transportation, operations, and logistics payment of sixty dollars ($60) per ton for glass containers.
(2)CA Public Resources Code § 14573.1(a)(2) If the department determines that there are insufficient funds to make the payments described in paragraph (1) and the payments described in Sections 14575 and 14581, then the department shall reduce the payments described in paragraph (1) before making any reductions to the payments described in Sections 14575 and 14581.
(3)CA Public Resources Code § 14573.1(a)(3) Notwithstanding Section 13340 of the Government Code, the moneys in the fund are hereby continuously appropriated to the department for expenditure without regard to fiscal year for the purposes described in this subdivision.
(b)CA Public Resources Code § 14573.1(b) This section shall remain in effect only until January 1, 2030, and as of that date is repealed.

Section § 14573.5

Explanation

This law requires processors to pay certified recycling centers, dropoff or collection programs, or curbside programs for empty beverage containers they receive. Payment must be made by check or electronic transfer, not cash, and should include the containers' refund value, 0.75% of that value for administrative costs, and a processing payment. Payments must be completed within two working days of receiving the containers unless the department allows more time. If a certified recycling center improperly obtains money, the department can reimburse the processor.

(a)CA Public Resources Code § 14573.5(a) Except as provided in Section 14573.6, a processor shall pay, by check or electronic transfer, to a certified recycling center, dropoff or collection program, or curbside program, for all types of empty beverage containers, by type of beverage container, received by the processor from a recycling center, curbside program, or dropoff or collection program, upon receipt by the certified processor of a shipping report from the supplier of the material, in the form adopted by the regulations adopted by the department. A processor shall not make the payment in cash. The payment shall include the sum of all of the following amounts:
(1)CA Public Resources Code § 14573.5(a)(1) The refund value.
(2)CA Public Resources Code § 14573.5(a)(2) Three-fourths of 1 percent of the refund value for administrative costs.
(3)CA Public Resources Code § 14573.5(a)(3) The processing payment established pursuant to Section 14575.
(b)CA Public Resources Code § 14573.5(b) The processor shall make the payment required in subdivision (a) within two working days of the date that the processor receives these empty beverage containers, or within the time which the department determines to be necessary and adequate. Under the procedures authorized by the department, the department may authorize a certified recycling center to cancel containers, and a certified processor may authorize a certified recycling center to cancel containers on behalf of the certified processor.
(c)CA Public Resources Code § 14573.5(c) If the department has set up an accounts receivable procedure or other procedure for seeking the payment of money improperly obtained by a certified recycling center from the fund, the department may reimburse the processor for its payments to that certified recycling center.

Section § 14573.51

Explanation

This law governs how recycling centers and processors pay curbside recycling programs in California. Typically, they can't pay these programs more than the statewide average rate unless the curbside program has its own specific rate approved by the department. Curbside programs can apply for an individualized rate for different materials like glass, aluminum, or certain plastics, but this rate is temporary, lasting only up to a year. The department must approve the method used to determine these rates. Once an individual rate is set, those programs won't be included in surveys for the statewide rate. Additionally, the law allows the department to spend a limited amount annually on contracts to implement these procedures, funded by fees from certain plastic containers. However, if there aren't enough funds after refunds and fee reductions, the department may skip calculating individual rates.

(a)CA Public Resources Code § 14573.51(a) Notwithstanding any other provision of this division, recycling centers and processors shall not pay curbside programs more than the applicable statewide average curbside commingled rate unless the curbside program has received an individual commingled rate from the department pursuant to subdivision (b).
(b)CA Public Resources Code § 14573.51(b) The department may establish a procedure whereby the operators of curbside programs may apply for an individual commingled rate for any material or types with or without a statewide commingled rate, including, but not limited to, glass, aluminum, bimetal, or any of the individual plastic resin types or combination of resin types identified by resin identification codes under Section 18015. These procedures shall require, at a minimum, all of the following:
(1)CA Public Resources Code § 14573.51(b)(1) The individual rate shall be valid for no more than one year from the date the individual rate is authorized.
(2)CA Public Resources Code § 14573.51(b)(2) The methodology used by the operator of the curbside program to determine the commingled rate shall be approved by the department, in advance.
(c)CA Public Resources Code § 14573.51(c) Curbside programs that have acquired an individual commingled rate, pursuant to this section, shall not be surveyed by the department to determine the statewide average curbside commingled rate during the period the individual commingled rate is effective.
(d)CA Public Resources Code § 14573.51(d) The department may enter into a contract for the services required to implement the amendments to this section made by the act of the first half of the 2003–04 Regular Session of the Legislature amending this section. The department may not expend more than two hundred fifty thousand dollars ($250,000) for each year of the contract. The contract shall be paid only from revenues derived from redemption payments and processing fees paid on plastic beverage containers displaying the resin identification code “3,” “4,” “5,” “6,” or “7” pursuant to Section 18015. If the department determines that insufficient funds will be available from these revenues, after refund values are paid to processors and the reduction is made in the processing fee pursuant to subdivision (f) of Section 14575 for these containers, the department may determine not to calculate a commingled rate pursuant to subdivision (b).

Section § 14573.6

Explanation

In California, programs where consumers drop off or a collection program collects items are not allowed to pay any refund value to the consumer. Additionally, these programs cannot receive payments intended to cover administrative costs as per the referenced sections.

No dropoff or collection program shall pay any refund value to the consumer, and a dropoff or collection program is not eligible to receive any sum paid pursuant to Section 14573 or 14573.5 for administrative costs.

Section § 14573.7

Explanation

This law allows the department to ask recycling centers for detailed transaction logs and receipts to support their reports. If a recycling center doesn't provide these documents, the department can temporarily stop their certification without a hearing, though the center can ask for one afterward. However, asking for a hearing doesn't delay the suspension. Any requested hearing follows specific government procedures.

Notwithstanding Sections 14573 and 14573.5, the department may require a recycling center, pursuant to a prepayment review taken pursuant to subdivision (a) of Section 14552, to submit consumer transaction logs and consumer transaction receipts as support documentation for shipping reports submitted to processors. The department may, pursuant to this section, authorize a processor to withhold refund value payments to a recycling center. The department may suspend the certification of a recycling center without a hearing if the recycling center fails to comply with the documental submittal requirements of this section, upon providing notice of these requirements. The recycling center which is the subject of the suspension may then request a hearing on the suspension, but the request for a hearing shall not stay the suspension. A hearing requested pursuant to this section shall be conducted in accordance with Chapter 5 (commencing with Section 11500) of Part 1 of Division 3 of Title 2 of the Government Code.

Section § 14574

Explanation

This law outlines the rules for distributors of beverage containers regarding redemption payments. Distributors must pay a redemption fee for each container sold to dealers, with a 1.5% reduction allowed for administrative costs. Payments must typically be made by the end of the month following the sale. However, if a distributor consistently follows the rules and their total annual redemption fees are projected to be less than $75,000, they're allowed to make a single payment covering the whole year by February 1. Distributors need to inform the department by January 31 if they choose to make this annual payment. This section became effective on July 1, 2012.

(a)Copy CA Public Resources Code § 14574(a)
(1)Copy CA Public Resources Code § 14574(a)(1) A distributor of beverage containers shall pay to the department the redemption payment for every beverage container, other than a refillable beverage container, sold or transferred to a dealer, less 1.5 percent for the distributor’s administrative costs.
(2)CA Public Resources Code § 14574(a)(2) The payment made by a distributor shall be made not later than the last day of the month following the sale. The distributor shall make the payment in the form and manner that the department prescribes.
(b)Copy CA Public Resources Code § 14574(b)
(1)Copy CA Public Resources Code § 14574(b)(1) Notwithstanding subdivision (a), if a distributor displays a pattern of operation in compliance with this division and the regulations adopted pursuant to this division, to the satisfaction of the department, the distributor may make a single annual payment of redemption payments, if the distributor’s projected redemption payment for a calendar year totals less than seventy-five thousand dollars ($75,000).
(2)CA Public Resources Code § 14574(b)(2) An annual redemption payment made pursuant to this subdivision is due and payable on or before February 1 for every beverage container sold or transferred by the distributor to a dealer in the previous calendar year.
(3)CA Public Resources Code § 14574(b)(3) A distributor shall notify the department of its intent to make an annual redemption payment pursuant to this subdivision on or before January 31 of the calendar year for which the payment will be due.
(c)CA Public Resources Code § 14574(c) This section shall become effective on July 1, 2012.

Section § 14575

Explanation

This law section requires setting processing fees and payments for recycling specific types of beverage containers if their scrap value is less than the recycling cost. The fees are adjusted annually based on recycling rates and are calculated to cover recycling centers' costs and provide them with reasonable financial returns. Beverage manufacturers must pay these fees for each container sold or transferred, although there are specific reductions and annual payment options available under certain conditions. The law outlines different rates of fees based on the recycling rate of the container type and provides a mechanism for reducing fees if surplus funds are available.

(a)CA Public Resources Code § 14575(a) If any type of empty beverage container with a refund value established pursuant to Section 14560 has a scrap value less than the cost of recycling, the department shall, on January 1, 2000, and on or before January 1 annually thereafter, establish a processing fee and a processing payment for the container by the type of the material of the container.
(b)CA Public Resources Code § 14575(b) The processing payment shall be at least equal to the difference between the scrap value offered to a statistically significant sample of recyclers by willing purchasers, and except for the initial calculation made pursuant to subdivision (d), the sum of both of the following:
(1)CA Public Resources Code § 14575(b)(1) The actual cost for certified recycling centers, excluding centers receiving a handling fee, of receiving, handling, storing, transporting, and maintaining equipment for each container sold for recycling or, only if the container is not recyclable, the actual cost of disposal, calculated pursuant to subdivision (c). The department shall determine the statewide weighted average cost to recycle each beverage container type, which shall serve as the actual recycling costs for purposes of paragraph (2) of subdivision (c), by conducting a survey of the costs of a statistically significant sample of certified recycling centers, excluding those recycling centers receiving a handling fee, for receiving, handling, storing, transporting, and maintaining equipment.
(2)CA Public Resources Code § 14575(b)(2) A reasonable financial return for recycling centers.
(c)CA Public Resources Code § 14575(c) The department shall base the processing payment pursuant to this section upon all of the following:
(1)CA Public Resources Code § 14575(c)(1) Except as provided in paragraph (2), for calculating processing payments that will be in effect on and after January 1, 2004, the department shall determine the actual costs for certified recycling centers, every second year, pursuant to paragraph (1) of subdivision (b). The department shall adjust the recycling costs annually to reflect changes in the cost of living, as measured by the Bureau of Labor Statistics of the United States Department of Labor or a successor agency of the United States government.
(2)CA Public Resources Code § 14575(c)(2) On and after January 1, 2010, the department shall use the most recently published, measured actual costs of recycling for a specific beverage container material type if the department determines the number of beverage containers for that material type that is returned for recycling pursuant to Section 14551, based on the most recently published calendar year number of beverage containers returned for recycling, is less than 5 percent of the total number of beverage containers returned for recycling for all material types. The department shall determine the actual recycling cost to be used for calculating processing payments for those beverage containers in the following manner:
(A)CA Public Resources Code § 14575(c)(2)(A) The department shall adjust the costs of recycling that material type every second year by the percentage change in the most recently measured cost of recycling HDPE plastic beverage containers, as determined by the department. The department shall use the percentage change in costs of recycling HDPE plastic beverage containers for this purpose, even if HDPE plastic beverage containers are less than 5 percent of the total volume of returned beverage containers.
(B)CA Public Resources Code § 14575(c)(2)(B) The department shall adjust the recycling costs annually for that material type to reflect changes in the cost of living, as measured by the Bureau of Labor Statistics of the United States Department of Labor or a successor agency of the United States government.
(d)CA Public Resources Code § 14575(d) Except as specified in subdivision (e), the actual processing fee paid by a beverage manufacturer shall equal 65 percent of the processing payment calculated pursuant to subdivision (b).
(e)CA Public Resources Code § 14575(e) The department, consistent with Section 14581 and subject to the availability of funds, shall reduce the processing fee paid by beverage manufacturers by expending funds in each material processing fee account, in the following manner:
(1)CA Public Resources Code § 14575(e)(1) On January 1, 2005, and annually thereafter, the processing fee shall equal the following amounts:
(A)CA Public Resources Code § 14575(e)(1)(A) Ten percent of the processing payment for a container type with a recycling rate equal to or greater than 75 percent.
(B)CA Public Resources Code § 14575(e)(1)(B) Eleven percent of the processing payment for a container type with a recycling rate equal to or greater than 65 percent, but less than 75 percent.
(C)CA Public Resources Code § 14575(e)(1)(C) Twelve percent of the processing payment for a container type with a recycling rate equal to or greater than 60 percent, but less than 65 percent.
(D)CA Public Resources Code § 14575(e)(1)(D) Thirteen percent of the processing payment for a container type with a recycling rate equal to or greater than 55 percent, but less than 60 percent.
(E)CA Public Resources Code § 14575(e)(1)(E) Fourteen percent of the processing payment for a container type with a recycling rate equal to or greater than 50 percent, but less than 55 percent.
(F)CA Public Resources Code § 14575(e)(1)(F) Fifteen percent of the processing payment for a container type with a recycling rate equal to or greater than 45 percent, but less than 50 percent.
(G)CA Public Resources Code § 14575(e)(1)(G) Eighteen percent of the processing payment for a container type with a recycling rate equal to or greater than 40 percent, but less than 45 percent.
(H)CA Public Resources Code § 14575(e)(1)(H) Twenty percent of the processing payment for a container type with a recycling rate equal to or greater than 30 percent, but less than 40 percent.
(I)CA Public Resources Code § 14575(e)(1)(I) Sixty-five percent of the processing payment for a container type with a recycling rate less than 30 percent.
(2)CA Public Resources Code § 14575(e)(2) The department shall calculate the recycling rate for purposes of paragraph (1) based on the 12-month period ending on June 30 that directly precedes the date of the January 1 processing fee determination.
(f)CA Public Resources Code § 14575(f) Not more than once every three months, the department may make an adjustment in the amount of the processing payment established pursuant to this section for any beverage container, based on the applicable preceding 12-month average scrap value or the preceding 3-month average scrap value, whichever is lower. Quarterly adjustments made pursuant to this subdivision shall not cause a change in the annual January 1 processing fee established by this section.
(g)Copy CA Public Resources Code § 14575(g)
(1)Copy CA Public Resources Code § 14575(g)(1) Except as provided in paragraphs (2) and (3), every beverage manufacturer shall pay to the department the applicable processing fee for each container sold or transferred to a distributor or dealer within 40 days of the sale in the form and in the manner that the department may prescribe.
(2)Copy CA Public Resources Code § 14575(g)(2)
(A)Copy CA Public Resources Code § 14575(g)(2)(A) Notwithstanding Section 14506, with respect to the payment of processing fees for beer and other malt beverages manufactured outside the state, the beverage manufacturer shall be deemed to be the person or entity named on the certificate of compliance issued pursuant to Section 23671 of the Business and Professions Code. With respect to the payment of processing fees for beverages manufactured outside the state and sold directly to consumers within the state with a direct shipper permit, the beverage manufacturer shall be deemed to be the person or entity named on the direct shipper permit issued pursuant to Section 23661.3 of the Business and Professions Code, and shall be responsible for paying to the department the total processing fee payment for all sales and transfers made directly to consumers in the state. If the department is unable to collect the processing fee from the person or entity named on the certificate of compliance or direct shipper permit, the department shall give written notice by certified mail, return receipt requested, to that person or entity. The notice shall state that the processing fee shall be remitted in full within 30 days of issuance of the notice or the person or entity shall not be permitted to offer that beverage brand for sale within the state. If the person or entity fails to remit the processing fee within 30 days of issuance of the notice, the department shall notify the Department of Alcoholic Beverage Control that the certificate holder has failed to comply, and the Department of Alcoholic Beverage Control shall prohibit the offering for sale of that beverage brand within the state.
(B)CA Public Resources Code § 14575(g)(2)(A)(B) The department shall enter into a contract with the Department of Alcoholic Beverage Control, pursuant to Section 14536.5, concerning the implementation of this paragraph, which shall include a provision reimbursing the Department of Alcoholic Beverage Control for its costs incurred in implementing this paragraph.
(3)Copy CA Public Resources Code § 14575(g)(3)
(A)Copy CA Public Resources Code § 14575(g)(3)(A) Notwithstanding paragraph (1), if a beverage manufacturer displays a pattern of operation in compliance with this division and the regulations adopted pursuant to this division, to the satisfaction of the department, the beverage manufacturer may make a single annual payment of processing fees, if the beverage manufacturer meets either of the following conditions:
(i)CA Public Resources Code § 14575(g)(3)(A)(i) If the redemption payment and refund value is not increased pursuant to paragraph (3) of subdivision (a) of Section 14560, the beverage manufacturer’s projected processing fees for a calendar year total less than ten thousand dollars ($10,000).
(ii)CA Public Resources Code § 14575(g)(3)(A)(ii) If the redemption payment and refund value is increased pursuant to paragraph (3) of subdivision (a) of Section 14560, the beverage manufacturer’s projected processing fees for a calendar year total less than fifteen thousand dollars ($15,000).
(B)CA Public Resources Code § 14575(g)(3)(A)(B) An annual processing fee payment made pursuant to this paragraph is due and payable on or before February 1 for every beverage container sold or transferred by the beverage manufacturer to a distributor or dealer in the previous calendar year.
(C)CA Public Resources Code § 14575(g)(3)(A)(C) A beverage manufacturer shall notify the department of its intent to make an annual processing fee payment pursuant to this paragraph on or before January 31 of the calendar year for which the payment will be due.
(4)CA Public Resources Code § 14575(g)(4) The department shall pay the processing payments on redeemed containers to processors, in the same manner as it pays refund values pursuant to Sections 14573 and 14573.5. The processor shall pay the recycling center the entire processing payment representing the actual costs and financial return incurred by the recycling center, as specified in subdivision (b).
(h)CA Public Resources Code § 14575(h) When assessing processing fees pursuant to subdivision (a), the department shall assess the processing fee on each container sold, as provided in subdivisions (d) and (e), by the type of material of the container, assuming that every container sold will be redeemed for recycling, whether or not the container is actually recycled.
(i)CA Public Resources Code § 14575(i) The container manufacturer, or a designated agent, shall pay to, or credit, the account of the beverage manufacturer in an amount equal to the processing fee.
(j)CA Public Resources Code § 14575(j) If, at the end of any calendar year for which glass recycling rates equal or exceed 45 percent and sufficient surplus funds remain in the glass processing fee account to make the reduction pursuant to this subdivision or if, at the end of any calendar year for which PET recycling rates equal or exceed 45 percent and sufficient surplus funds remain in the PET processing fee account to make the reduction pursuant to this subdivision, the department shall use these surplus funds in the respective processing fee accounts in the following calendar year to reduce the amount of the processing fee that would otherwise be due from glass or PET beverage manufacturers pursuant to this subdivision.
(1)CA Public Resources Code § 14575(j)(1) The department shall reduce the glass or PET processing fee amount pursuant to this subdivision in addition to any reduction for which the glass or PET beverage container qualifies under subdivision (e).
(2)CA Public Resources Code § 14575(j)(2) The department shall determine the processing fee reduction by dividing two million dollars ($2,000,000) from each processing fee account by an estimate of the number of containers sold or transferred to a distributor during the previous calendar year, based upon the latest available data.
(k)Copy CA Public Resources Code § 14575(k)
(1)Copy CA Public Resources Code § 14575(k)(1) Commencing January 1, 2024, a processing fee equivalent to the processing fee applied to HDPE beverage containers shall be applied to a beverage container that is a box, bladder, or pouch, or similar container, containing wine or distilled spirits, as described in paragraph (12) of subdivision (a) of Section 14504.
(2)CA Public Resources Code § 14575(k)(2) Commencing January 1, 2024, a processing payment equal to the processing payment applied to HDPE beverage containers shall be applied to a beverage container that is a box, bladder, or pouch, or similar container, containing wine or distilled spirits, as described in paragraph (12) of subdivision (a) of Section 14504.
(3)CA Public Resources Code § 14575(k)(3) This subdivision shall become inoperative on January 1, 2026.

Section § 14575.1

Explanation

This law outlines a process for how processing fees are handled when someone offers to buy empty PET containers at a special price. If someone is buying these containers at a price equal to a reduced processing fee, then no regular processing fee will apply. Each month, the department checks if these payments meet or exceed the recycling costs for the containers. If they don't, the buyer is informed and must make up the difference in the next month. If the issue isn't corrected within 30 days, a processing fee is charged. Conversely, if the payments exceed recycling costs, the buyer gets credit for future payments. This process does not impact any ongoing court cases as of a certain date.

(a)CA Public Resources Code § 14575.1(a) Notwithstanding subdivision (b) of Section 14575, if a willing purchaser offers to purchase empty PET containers at a voluntary artificial scrap value that is equal to the processing fee reduced pursuant to subdivision (f) of Section 14575 when applied to all containers sold, no processing fee shall be imposed on PET containers pursuant to Section 14575.
(b)CA Public Resources Code § 14575.1(b) If a willing purchaser offers to pay a voluntary artificial scrap value, the department shall, on a monthly basis, determine whether the sum of the voluntary artificial scrap value and payments made from the PET Processing Fee Account pursuant to subdivision (f) of Section 14575, are equal to, or more than, the recycling cost for empty PET containers determined pursuant to subdivision (d) of Section 14575.
(c)CA Public Resources Code § 14575.1(c) If the department determines that, for any monthly period, the sum of the voluntary artificial scrap value and payments made from the PET Processing Fee Account pursuant to subdivision (f) of Section 14575, is less than the recycling cost for empty PET containers, determined pursuant to Section 14575, the following requirements shall apply:
(1)CA Public Resources Code § 14575.1(c)(1) The department shall immediately provide written notification of the deficiency for that monthly period and the amount of that deficiency to any willing purchaser.
(2)CA Public Resources Code § 14575.1(c)(2) A willing purchaser shall correct the deficiency in the next monthly period by adjusting the voluntary artificial scrap value by an amount sufficient to equal the recycling cost for empty PET containers plus the previous monthly period’s deficiency.
(3)CA Public Resources Code § 14575.1(c)(3) If the deficiency and amount in arrears is not corrected within 30 days of providing written notice to willing purchasers of empty PET containers, the department shall impose a processing fee pursuant to Section 14575 which includes any amount necessary, including any amount in arrears, to cover the cost of recycling empty PET containers.
(d)CA Public Resources Code § 14575.1(d) If the department determines that, for any monthly period, the sum of the voluntary artificial scrap value and payments made from the PET Processing Fee Account pursuant to subdivision (f) of Section 14575, is greater than the recycling cost for empty PET containers, the department shall do both of the following:
(1)CA Public Resources Code § 14575.1(d)(1) Immediately provide written notification of the deviation for that monthly period and the amount of that deviation to any willing purchaser.
(2)CA Public Resources Code § 14575.1(d)(2) Provide a credit equal to the amount of the deviation for any future monthly period wherein the voluntary artificial scrap value, and payments made from the PET Processing Fee Account, are less than the recycling cost of empty PET containers determined pursuant to subdivision (d) of Section 14575.
(e)CA Public Resources Code § 14575.1(e) Nothing in this section is intended to affect any litigation that was pending on January 1, 1996, in which the department is a party of record.

Section § 14576

Explanation

The goal of this law is to promote both the reuse and recycling of empty beverage containers. Reusable beverage containers should receive the same processing payment as other glass beverage containers.

(a)CA Public Resources Code § 14576(a) It is the intent of the Legislature that all provisions of this division be interpreted to encourage and support the reuse, as well as the recycling, of empty beverage containers.
(b)CA Public Resources Code § 14576(b) The processing payment for a reusable beverage container shall be the same amount paid for other glass beverage containers.